Coinbase Announces Ethereum Bridge And NFT Functionality For L2 Base

  • Crypto exchange Coinbase plans to increase access and functionality of its L2 network Base by August 9.
  • The company announced an Ethereum bridge to allow users to send tokens to and from the Base chain.
  • Included in the official mainnet launch are commemorative NFTs as a part of a month-long “Onchain Summer” promotion for the layer 2 network.
  • Today’s announcement follows a rug pull incident involving a memecoin called BALD.

Coinbase announced the release of an Ethereum bridge and NFT minting for its layer 2 network Base. Base is set to launch its mainnet on August 9 after opening to developers back in July.

The Ethereum bridge will allow Base users to transfer tokens including ETH between Coinbase’s network and Ethereum’s blockchain. This was previously impossible as developer access released in July only allowed one-way transactions to Base.

Starting August 9, users will also be able to mint NFTs on Base and claim digital ID or crypto usernames on Coinbase Wallet. Coinbase also partnered with names like OpenSea, Atari, and Coca-Cola to power user rewards.

BALD Degens Rekkt On Coinbase’s L2 Chain

The previous lack of bridge options to Base did little to stop speculative traders from aping into memecoins launched on the blockchain. These degens as they’re known in crypto poured millions into tokens, with a coin called BALD taking center stage.

Traders reportedly turned a few hundred dollars in initial punts into millions overnight. Indeed, BALD’s market cap peaked at nearly $90 million on Sunday from a $50,000 token market cap two days prior.

BALD’s ascent was shortlived as its price tumbled toward zero after the developer withdrew over $12 million in liquidity. The rug pull – the term used to describe when a token deployer withdraws liquidity after prices have increased, leaving users unable to liquidate their coins – splashed across Base’s ecosystem with several of these memecoins rugging would-be early investors.

Decentralized exchange LeetSwap also paused operations after multiple exploits on liquidity pools. The team has since recovered over 400 ETH, per LeetSwap Twitter updates.