Key Points
- Coinbase’s Base network has launched ‘Basenames’, an onchain identities solution on Ethereum.
- Basenames are designed to simplify complex hexadecimal wallet addresses into user-friendly names.
Coinbase’s Base network, a significant Layer 2 solution on Ethereum, has introduced an onchain identities solution, ‘Basenames’.
These Basenames, constructed using the Ethereum Name Service (ENS) infrastructure, aim to convert complicated hexadecimal wallet addresses into easily readable names.
Understanding Basenames
The principle behind ENS subnames resembles website subdomains. An existing ENS domain owner can create and manage multiple subnames or subdomains under their primary name. Basenames are a crucial part of the Base ecosystem, simplifying user interaction within the blockchain space.
Launch Details of Basenames
The introduction of Basenames ensures inclusivity, with all names accessible via a Dutch auction. This method guarantees equal opportunity for all to claim their preferred names, preventing automated systems and bots from dominating the process.
The auction starts with a premium fee of 100 ETH, which will gradually decrease to 0.39 ETH over a 36-hour period. After the auction ends, users can secure their names without any additional premium fees.
Initially, Basenames will be available for the first three days after the launch, with users required to register their wallets by August 21, 18:00 UTC, to claim their unique base.eth usernames.
Base network lead Jesse Pollak highlighted the simplicity that Basenames will bring to the platform, stating that Basenames will be the easiest way to get started building (or living) onchain.
Base Network’s Success
The launch of Basenames by Coinbase is a significant part of its ongoing efforts to enhance the functionality and reach of its Base network. As a Layer 2 solution on Ethereum, Base allows users to deploy any Ethereum Virtual Machine (EVM) codebase easily and enables seamless onboarding of users and assets from Ethereum’s Layer 1, Coinbase, and other interoperable blockchain networks.
Since its inception on August 9, 2023, Base has made a significant impact on the industry. It has nearly tripled its total value locked (TVL) over the past six months, reaching $1.5 billion. The decentralized exchange Aerodrome has contributed significantly to this growth, contributing $592 million to this TVL.
Coinbase’s success with Base is also reflected in its Q2 2024 earnings. The company reported a total revenue of $1.45 billion, surpassing analysts’ predictions of $1.4 billion. Coinbase’s stock (COIN) is currently trading around $204.5, an increase of 30% year-to-date.
