Coinbase’s (COIN) launch of its new blockchain, Base, an Ethereum layer-2 network, fuelled talk in crypto circles on Wednesday. Possibly being the first time, a publicly traded company did this, many now wonder if it signals a new trend of public entities running their own distributed networks.
Coinbase steams ahead with blockchain launch
Experts opine that, besides creating a profitable flow of revenue from applications associated with this initiative, Base will, in all likelihood, allow this prominent US crypto trader to stockpile fees from administering its own blockchain. When delving back into Coinbase’s history, this move seems to be a part of an overall plan.
Brian Armstrong Source: LinkedIn
In 2016, Coinbase CEO, Brian Armstrong, described growing its business via decentralised apps (or dApps) as the fourth phase in the company’s development. With this, the company, which shares went live on the Nasdaq in April 2021, aims to reach one billion people.
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In a Tuesday interview, Jesse Pollak, the Head of Protocols in Charge of Base, mentioned that 100 dApps were already positioned or ready for release on the new network. Pollak said:
Historically, the aperture of what people can do with crypto has been relatively limited, mostly speculation. In order for Coinbase and crypto and this work that we’re doing to have the impact that we all want, we need to move from the place where this is speculation to a place where this is integrated into every part of someone’s day-to-day existence.
On 3 August, the crypto platform announced an “Onchain Summer” promotion in tandem with partners such as Coca-Cola to give the Base launch a voice.
