Daily Update: Coinbase Hints at Launching a Native Network Token
In a significant move for the cryptocurrency industry, Coinbase is considering the creation of a network token for its Layer 2 platform, Base. This potential development could catapult Base to the top of any L2 token list upon its debut.
According to Coinbase CEO, Brian Armstrong, the Ethereum Layer-2 Network Base is undergoing an exploration process to introduce a native network token, a step that could be significant for the ecosystem. The exact timeline for the release of this token is yet to be announced, with estimates suggesting a potential launch in Q4 2026.
The Base platform currently boasts heavy usage, handling approximately 13 million daily transactions, 865,000 active addresses, $5 billion Total Value Locked (TVL), and $1.28 billion 24-hour Decentralised Exchange (DEX) volume.
Anticipated Token Release and Potential Market Impact
If Coinbase does drop a network token, it could potentially receive a "Coinbase premium," pushing its market cap to the $8B-$10B range, pending tokenomics. A "back-of-the-napkin" scenario for a Base token's market cap, ignoring Binance Coin (BNB), would put it at a fair value of $6B-$7B out of the gate.
The market is likely to compare any potential Base token to other similar projects like Arbitrum, Optimism, and BNB Chain when it is released. This comparison will be crucial in determining the token's initial market reception and long-term success.
Other Notable Crypto Developments
In other crypto news, Robinhood teased 'Robinhood Ventures,' providing its retail investors with a chance to invest in a curated basket of private companies. Meanwhile, PayPal added crypto to person-to-person payments inside its app.
The Ethereum Foundation launched a dAI team to standardize AI-agent protocols and build a decentralized AI stack. Helius raised $500M to build a Solana TreasuryCo.
In the AI sector of crypto, Strategy bought 525 BTC for about $60.2M last week, lifting holdings to 638,985 BTC. Alex Becker's StrSzn streamer coin did over $69M in volume and generated $300k+ in fees (mc at $5M), as most streamer coins fell substantially. CLANKER (+12%), YNE (+10%), and Nuit (+6%) led top movers in the AI sector of crypto.
The NFT market saw strong performances from Shrimpers (+18%) and Gemesis (+11%). ZORA jumped 22% on the back of the Base token news. OpenSea's final pre-Total Generation Event (TGE) phase of Rewards went live, with a massive prize pool of NFTs and tokens awaiting.
In the meme coin market, RUNNER (+465%) and GoProCat (+200%) were top movers. MoonPay acquired Meso as they expand their global payments network.
The crypto sector had mostly flat performances for ETH, BTC, XRP, SOL, and DOGE. Eth NFT leaders were mixed; Punks +1% at 48.9 ETH, Pudgy -1% at 10.1, BAYC +1% at 8.95 ETH.
In the stock market, David Bailey's NAKA stock plunged ~55% after PIPE shares registration and writing a letter to shareholders encouraging them to sell if they wanted. Forward Industries completed a $1.6B SOL buy, becoming the biggest SOL TreasuryCo.
Polymarket's recent filings hint at "other warrants" which typically indicate a token, leading to speculation of a Polymarket token in the works. Ethena said that ENA "fee switch" conditions are met and prepared a token-holder vote to share protocol revenue with stakers.
In a significant development for the crypto community, The Fellowship PAC launched with a $100M warchest to back pro-crypto and pro-tech candidates. If a Base token is released early to mid next year as predicted by Twitter user Eddie (@DancingEddie_), it could potentially be a game-changer for the L2 token market.
