With SEC Watch, Coinbase’s Legal Chief Discusses Base Token

Coinbase’s Base Network, a Layer-2 scalability platform based on Ethereum, has taken off since its inception this year. Paul Grewal, the chief legal officer of Coinbase, alluded to the possibility of a digital token for the Base Network in a recent interview.

Grewal stated that he is quite ecstatic about the Base Network’s early acceptance. He added that they are just scratching the surface at this juncture and that developers have much more to investigate in the future.

The Optimism network created the OP Stack as a Layer-2 solution, which Coinbase Layer 2 makes use of. Additionally, Optimism has its own native token, $OP, on the market.

Andre Beganski of Decrypt inquired of Paul Grewal his thoughts on having a base token on the market in light of Coinbase’s ongoing dispute with the U.S. Securities and Exchange Commission (SEC).

Grewal stated that a base token could become viable in the future, which they have not ruled out. Grewal stated that their immediate focus with Coinbase Base is to promote the use of technology for new development.

Grewal added that they are optimistic about collaborating with the SEC and shaping the crypto landscape to bring clarity to all parties involved.

As a consequence, Coinbase has launched an advocacy campaign in support of a US crypto bill. Early success for Base has been auspicious, and it has reached a significant milestone.

In terms of total value secured (TVL), Coinbase’s Base Network has surpassed Solana to take the ninth position. The DeFi protocols on Base have accrued deposits totaling $370.50 million, surpassing Solana’s $310.25 million, according to data from DeFiLlama.

This expansion is primarily attributable to increased activity on the Web3 social media platform Friend.tech and the recent integration of well-respected DeFi applications into the blockchain over the past few weeks.

Coinbase promotes Base as a “bridge” for consumers to enter the cryptoeconomy. Coinbase aims to provide a user-friendly on-chain experience by default, as well as access to products on multiple other chains.

In addition to enhancing Base’s interoperability with other blockchains, Coinbase remains committed to supporting a vast array of blockchains across all of its products.