A significant increase in Total Value Locked (TVL) has been observed in Base, a layer-two blockchain developed by Coinbase, in the past 24 hours after a crucial integration. This rise coincides with evolving regulatory dynamics in the U.S., influenced by former President Trump's positive outlook on cryptocurrencies, which has inspired bold actions within the sector.
DefiLlama data shows that Base's TVL has surged by $557 million, from $2.778 billion to $3.335 billion within a day, marking a 20% increase. The spike in TVL suggests a rise in the number of assets staked, locked, or deposited in the Base blockchain. A higher TVL implies enhanced user engagement, confidence, and adoption, as individuals invest funds in the protocol.
This surge follows the announcement by Binance.US, the American affiliate of Binance, the world's leading cryptocurrency trading platform, adding support for Base. The integration allows the transfer of Ethereum (ETH) and Circle's USDC stablecoin on the Layer-2 network.
With this move, Binance.US users can directly deposit and withdraw ETH and USDC through Base, eliminating the need to bridge assets via Ethereum's mainnet. Base's off-chain transaction processing ensures faster speeds and lower costs compared to Ethereum's mainnet, which is known for network congestion and high gas fees during peak times.
The strategic integration not only opens up DeFi opportunities for Binance.US users at a reduced cost but also reflects a trend of crypto exchanges taking proactive steps amid shifting regulatory landscapes. Binance.US's decision to support Base follows its recent resumption of USD deposits and withdrawals through bank transfers after a two-year hiatus, highlighting the industry's adaptation to regulatory challenges.