From Coinbase Wallet to Base App
Last night, Base held the event 'A new day one', officially announcing the renaming of Coinbase wallet to Base App. This is not just a simple brand refresh, but a transformation from a single cryptocurrency asset storage wallet app into a Web3 super aggregator application that encompasses assets, payments, and social interactions.
The message sparked lively discussions in the market, and various targets on the Base chain experienced varying degrees of increase.
This may also mean that everyone believes that the transformation behind this is not just about delivering a better app, but the beginning of a whole new chapter.
New chapters often mean the emergence of many early opportunities and profound changes in the existing market landscape.
From wallet to aggregator application: What updates has Base App made?
This update marks a comprehensive evolution in Base's functionality and positioning: transitioning from a single cryptocurrency asset management tool to a Web3 super application that integrates asset management, instant payment, social interaction, and developer ecosystem, opening up a new imaginative space for users and investors. The core updates are as follows:
Base Pay: USDC Instant Payment
This update of Base App introduces Base Pay, supporting users to make almost instant low-cost payments using USDC. Currently, Base has partnered with e-commerce giant Shopify, and in the future will support USDC payment services for millions of merchants worldwide. Additionally, users only need to hold USDC to enjoy an APY (annual yield) of up to 4.1%.
At the same time, it is expected to launch a cash back reward program of 1% for spending payments for US users by the end of this year. This feature significantly simplifies the user experience for on-chain payment processes, and combined with the rapidly developing stablecoin industry this year, will greatly improve the instant payment experience for users.
Flashblocks: Faster and better blockchain
Base chain introduces Flashblocks technology, shortening block time to 200 milliseconds, significantly enhancing transaction processing speed. This change will help users conduct high-frequency trading, on-chain games, and instant applications within the Base App, providing a more efficient on-chain experience for users and developers.
Base Build: Empowering the developer ecosystem
Through the Base Build program, Coinbase provides SDKs, APIs, and funding support, aiming to attract 1 million developers to join the Base chain ecosystem. The 'Sign in with Base' feature simplifies the dApp development process, helping developers quickly build applications, laying a solid foundation for the future prosperity of the Base ecosystem.
Social: Creating a new ecosystem of on-chain interactions
Distinguished from traditional cryptocurrency wallet applications, Base App prominently introduces innovative social features by integrating the Farcaster protocol to access decentralized social platforms. Users can post and share content within the Base App, and instantly view on-chain dynamics, such as purchasing NFTs or transferring tokens.
At the same time, Base App supports Farcaster's Mini Apps, allowing users to directly run lightweight Web3 applications, such as games or DeFi tools. Users can also create personal homepages to showcase their on-chain activities and interact with the community through built-in chat tools. This deep integration of social and on-chain operations will significantly enhance the user experience, making Base App more than just a wallet, but a portal for on-chain social.
All of these updates make Base App no longer just a tool for trading cryptocurrency assets, but rather a comprehensive entry point to the Web3 world.
Opportunities under significant innovation
The comprehensive upgrade of Base App, from USDC instant payments to integrating Farcaster's social features, and empowering technologies like Flashblocks and Base Build, not only reshapes the user experience but also unlocks unprecedented opportunities. Below we focus on potential opportunities closely related to users and investors.
Opportunities for investors: Capturing the growth dividends of Base
The transformation of Base App opens up multi-dimensional opportunities for investors, covering DeFi tokens, Meme coins, and stablecoin-related assets. The following are specific investment targets and investment logic. Please note that the following analysis represents personal views and does not constitute any investment advice, cryptocurrency investment carries risks, and please invest cautiously.
Cryptocurrency targets
$AERO (Aerodrome Finance):
As the leading DEX (decentralized exchange) on Base chain, it currently occupies nearly 14.6% of Base chain's TVL. With the official launch of Base App's social features and higher transaction frequency supported by Flashblocks, it is likely to attract more users to conduct on-chain transactions within Base App, increasing Aerodrome's trading volume and fee income.
$UNI (Uniswap):
Uniswap has been deployed on the Base chain, benefiting from Flashblocks' low latency and high throughput. Base App's Base Pay and social features will attract more retail users to participate in DeFi trading, increasing Uniswap's trading volume. Farcaster's Mini Apps support Uniswap's on-chain interfaces (like trading bots), further enhancing user engagement. As a governance token, UNI is expected to benefit from the value increase brought about by the expansion of the Base chain ecosystem.
$BRETT:
BRETT is the most representative meme coin on the Base chain, similar to Solana's BONK. The Farcaster social features of Base App (personal homepage, on-chain dynamics) amplify BRETT's visibility through community discussions and Casts. Mini Apps support lightweight games or NFT trading related to meme coins, further driving speculation.
US stock targets
$COIN (Coinbase Global): As the parent company of Base chain and Base App, Coinbase directly benefits from ecosystem growth. The user growth of Base App (currently in the testing phase with hundreds of thousands on the waiting list) and the integration of Base Pay with Shopify will increase Coinbase's transaction and custody revenue. Meanwhile, integrating Farcaster's social features will also attract a large number of new users to use Base App, further boosting Coinbase's active addresses. The COIN stock price has risen more than 50% since the beginning of the year, and the launch of Base App may further drive its increase.
$CRCL (Circle): As the issuer of the stablecoin USDC, Circle will significantly benefit from the promotion of Base Pay. Base Pay has confirmed cooperation with Shopify, and using Base Pay to pay for Shopify purchases will receive a 1% rebate, while holding USDC within the Base App will earn a 4.1% APY, stimulating the demand for USDC, making CRCL a direct investment target for stablecoin growth.
Developer opportunities: Building a prosperous ecosystem
The Base Build program aims to attract 1 million developers to join the Base ecosystem by providing SDKs, APIs, and funding support, creating a prosperous Web3 application ecosystem. The 'Sign in with Base' feature simplifies the dApp development process, similar to single sign-on on the traditional internet, allowing developers to quickly build user-friendly applications without complex front-end integration.
Farcaster's Mini Apps provide developers with a lightweight development framework to support the creation of social, gaming, and DeFi applications, such as on-chain NFT markets, decentralized social tools, and trading bots, significantly lowering the development threshold for developers.
At the same time, the 200 millisecond block time of Flashblocks supports high-frequency trading records, making it suitable for developing applications with high real-time requirements, such as on-chain games or high-frequency DeFi protocols. The following are the application tracks more suitable for developers to choose:
Social dApp
Utilizing Farcaster's Mini Apps to develop decentralized social platforms or social-driven applications, similar to the on-chain social experience of Lens Protocol.
DeFi and on-chain games
Based on Flashblocks' high throughput and MagicSpend's low costs, the possibility of developing efficient DeFi protocols or on-chain games will greatly increase, such as liquidity mining or instant competitive games.
Ecosystem integration
Integrating Base Pay's USDC payment feature, develop e-commerce or payment dApps to meet the on-chain transaction needs of platforms like Shopify.
The impact of Base App's transformation on the Web3 landscape
The transformation of Base App marks a leap from a single cryptocurrency wallet to a Web3 super application, seemingly heralding the 'iPhone moment' of the Web3 world. Next, we will explore in detail the impact of this transformation on the Web3 landscape.
Accelerated integration of the DeFi ecosystem
Base App, based on Flashblocks technology, will significantly enhance the transaction speed of Base chain, far surpassing the ETH mainnet and Optimism. This provides a low-latency, high-throughput environment for DeFi protocols, driving the TVL of Base chain to continue rising. Base Build will further attract developers to enrich its dApp ecosystem, similar to how Solana doubled its TVL in 2021 through developer incentives. As an aggregator traffic entry, Base App is highly likely to challenge the market share of Arbitrum and Optimism, becoming a leader in Layer 2.
The rise of decentralized social
The integration of Farcaster may make Base App a new hub for Web3 social, relying on the rich Mini Apps and on-chain dynamic features provided by Farcaster, promising to inject huge traffic into the creator economy, such as NFT trading and DAO community building and governance. Meanwhile, the decentralized social identity will amplify the community effects of Meme-type assets in the Base ecosystem, allowing users to have more direct access to various Meme cultures and projects.
The popularization of stablecoin payments
Base Pay's USDC payment integration with Shopify covers millions of merchants globally, combined with a 4.1% APY, stimulating the adoption of stablecoins in e-commerce and on-chain applications. The payment and social integration of Base APP, similar to the model of Alipay, could accelerate the globalization of Web3 payment infrastructure.
Conclusion: This is the beginning of a new era
In the past, users needed to switch between wallets, information, social and exchange applications; in the future, perhaps a single Base App can encompass all.
What it solves is not just convenience, but also revitalizing countless ideas that were once constrained by technical and ecological bottlenecks. All of this heralds the dawn of a new era for Base App in the Web3 world.
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