Compound is the Latest DeFi Protocol to Launch on Base

Compound has officially integrated with layer-2 network Base, using ETH and cbETH as collateral assets.

Integration Details:

• Lending Platform: Compound, a leading DeFi lending platform, is now available on Base, a layer-2 network developed by Coinbase.
• Collateral Assets: Users can use Ethereum (ETH) and Coinbase's staked ETH (cbETH) as collateral to borrow the stablecoin USDC, known as USDbC on Base.
• Current Statistics: There is currently $3.64 million in collateral (comprising $2.47 million in ETH and $1.17 million in cbETH) with $2.25 million borrowed. Lenders earn an annual percentage rate (APR) of 1.25%, while borrowers face an APR of 2.84%.

Previous Integrations:

Before Compound, several other projects integrated with Base, including SushiSwap, Chainlink, Uniswap, Aragon, Axelar, Reservoir, Wormhole, Bungee, and deBridge.

About Base:

• Technology: Base operates on the OP Stack technology from Optimism.
• Launch Timeline: The mainnet launched in a limited capacity for builders on 13/07 and opened to the public on 09/08.
• User Growth: Since opening, Base quickly reached 100,000 users and a total value locked (TVL) of $114 million, largely driven by the social media platform friend.tech.
• Daily Transactions: Base's daily transactions are trending to surpass those of Optimism and Arbitrum.

Challenges:

Despite its rapid growth, Base has faced several issues:

• Memecoin Incidents: The BALD memecoin rugpull and the failure of Frenstech (FRENS) have raised concerns.
• Exploits: Security exploits on LeetSwap and RocketSwap have also tested the resilience of this emerging network.

Transaction Statistics:

• Comparison: Daily transaction figures for Base compared to Optimism and Arbitrum, as provided by The Block.

The integration of Compound into Base marks a significant milestone for the layer-2 network, enhancing its DeFi ecosystem while also highlighting the challenges and growing pains associated with rapid expansion and new technology adoption.