<\/p>\n
Activity on Ethereum Layer 2 network Base is surging ahead of Coinbase\u2019s smart wallet release.<\/p>\n
Base, Coinbase\u2019s Layer 2 (L2) blockchain, has hit an all-time high in terms of total value locked (TVL) as investors look forward to Coinbase\u2019s new smart wallet<\/a>.<\/p>\n Base\u2019s growth over the last 90 days has significantly outpaced competitors such as Arbitrum and Optimism. In that time period, Base\u2019s TVL increased by 465%<\/a> from $1.3B to $7.41B, whereas Arbitrum\u2019s TVL increased by just 13%<\/a>, and Optimism\u2019s declined by 12%<\/a>.<\/p>\n Activity and TVL on the chain began to increase dramatically after the implementation of EIP-4844 in March, which introduced proto-danksharding<\/a> and reduced gas costs on L2s such as Base.<\/p>\n <\/p>\n <\/a><\/p>\n Coinbase\u2019s smart wallet aims to offer a seamless transition for users to move from their centralized exchange accounts to onchain dApps. It is a browser-based onchain wallet designed to eliminate friction points through account abstraction.<\/p>\n Account abstraction<\/a> allows users to transact on Ethereum or a Layer 2 without initiating a transaction themselves by delegating it to a third party. This enables an onchain experience that is user-friendly and opens up possibilities such as gasless transactions, preauthorized payments, passkey signatures, and one-click transactions.<\/p>\n Investors and traders are speculating that the retail-friendly smart wallet will help onboard Coinbase\u2019s user base into the world of DeFi. Jesse Pollak, a lead contributor to Base, posted<\/a> on social media, \u201cPrediction: by EOY, 90%+ of active onchain users will use smart wallets. How? we’re going to onboard tens of millions of new users\u201d<\/p>\nAdoption via Account Abstraction<\/h2>\n