PancakeSwap

Base

BALD

zkSync

<p class="is-style-lead">The total value locked (TVL) on the Base layer-2 network spiked to more than $400 million since the launch of the Aerodrome decentralized exchange.</p> 
<p>The most recent information from <a href="https://defillama.com/chain/Base" target="_blank" rel="noreferrer noopener">DefiLlama</a> shows that the TVL of <a href="https://crypto.news/what-is-base-unpacking-coinbases-new-layer-2-network-and-its-impact/" target="_blank" rel="noreferrer noopener">Base</a>, a layer 2 Ethereum (<a href="https://crypto.news/price/ethereum/">ETH</a>) network developed at <a href="https://crypto.news/exchanges/coinbase/" data-type="link" data-id="https://crypto.news/exchanges/coinbase/">Coinbase</a>, increased by more than 56% to reach $405.66 million in the past week.</p> 
<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter">
 <div class="wp-block-embed__wrapper"> 
  <blockquote class="twitter-tweet" data-width="550" data-dnt="true">
   <p lang="en" dir="ltr">With the launch of Aerodrome on the Base chain, the TVL on the Base chain has exceeded 400 million US dollars, surpassing the zkSync Era (384 million US dollars), and an increase of about 56% in the past week. The Aerodrome TVL has approached US$200 million. The higher APR has…</p>— Wu Blockchain (@WuBlockchain) <a href="https://twitter.com/WuBlockchain/status/1697901327651918122?ref_src=twsrc%5Etfw" target="_blank" rel="noopener">September 2, 2023</a>
  </blockquote>
  <script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script> 
 </div>
</figure> 
<p>This increase was powered mainly by the introduction of Aerodrome, a new trading and liquidity marketplace, on the network.</p> 
<p>Aerodrome got off to a sluggish start when it launched on Aug. 28. It brought in less than $5 million in liquidity over the course of its first two days. However, since Aug. 31, deposits started to grow, eventually reaching more than $170 million in just 24 hours.</p> 
<p> You might also like: <a href="https://crypto.news/bases-tvl-spikes-48x-on-bald-meme-coin-frenzy/"> Base’s TVL spikes 48X on BALD meme coin frenzy </a> </p> 
<p>With a TVL of <a href="https://defillama.com/protocol/aerodrome?fees=true&amp;revenue=true" target="_blank" rel="noreferrer noopener">$189.6 million</a>, Aerodrome now accounts for nearly half of the TVL on Base. It has also enabled the network to jump ahead of <a href="https://crypto.news/ethereums-zksync-era-reaches-500m-in-tvl/" target="_blank" rel="noreferrer noopener">zkSync Era</a> to become the third-ranked L2 in terms of TVL after Arbitrum and Optimism (OP).</p> 
<figure class="wp-block-image">
 <img decoding="async" loading="lazy" width="1042" height="361" src="https://crypto.news/app/uploads/2023/09/image.png" alt="Aerodrome launch pushes Base TVL past $400m - 11" class="wp-image-14190668">
 <figcaption class="wp-element-caption">
  L2 TVL ranking | Source: Dune
 </figcaption>
</figure> 
<h3 class="wp-block-heading" id="what-is-aerodrome">What is Aerodrome?</h3> 
<p>Aerodrome is a fork of Velodrome Finance, the largest DEX on Optimism in terms of revenue and TVL. Speaking to the media in the aftermath of Aerodrome’s most recent surge, the Velodrome development team described Aerodrome’s performance as a “validation” of its belief that ecosystem native DEXs can thrive.</p> 
<p>Solidly, the decentralized exchange on which Velodrome and Aerodrome are based was heavily <a href="https://hackmd.io/@c30/BJ2PNCwgs" target="_blank" rel="noreferrer noopener">criticized</a> upon its first introduction, when faults in its code and issues with its token incentives structure drove customers and liquidity providers away. However, with Aerodrome, the Velodrome team claims they have fixed Solidly’s flaws.</p> 
<p>Velodrome had a <a href="https://crypto.news/learn/why-tvl-matters-in-defi-total-value-locked-explained/" target="_blank" rel="noreferrer noopener">TVL</a> of $163.36 million at the time of writing, according to DeFiLlama. This is more than $26 million lower than Aerodrome, although due to its longevity, Velodrome has a much higher annualized revenue at $36.67 million, compared to Aerodrome’s $2.6 million.</p> 
<p> Read more: <a href="https://crypto.news/pancakeswap-launches-on-ethereum-layer-2-solution-base/"> PancakeSwap launches on Ethereum layer-2 solution, Base </a> </p>

Aerodrome launch pushes Base TVL past $400m

Table of Contents

crypto.news

Other articles published on Sep 2, 2023

Ripple Challenges SEC’s Case, Calling for Fair XRP Regulation

BNB Falls As It Extends Its Price Range To Over $200

SEBA Bank Granted Approval for Crypto Services in Hong Kong

Best Crypto Apps & Exchanges for Beginners in 2023

Alien Worlds: A Gaming Multiverse With Limitless Opportunities

Dogecoin (DOGE) Recovery Hinges on This Major Factor

Join our free newsletter for daily crypto updates!