Analysis of Recent Developments and Future Trends of the Base Ecosystem

1. Recent Changes in the Base Ecosystem

Since the end of May 2025, the Base ecosystem has entered a noticeable "explosion period." The daily active addresses, total locked value ( TVL ), and daily transaction volume have all shown a rapid upward trend. This explosion is mainly driven by the successive hype of several popular narratives within the ecosystem, attracting widespread market attention. From a macro perspective, with the potential improvement of the regulatory environment, Base may become a more favored choice for traditional institutions.

Main performance:

1. The number of active users has grown exponentially, recently reaching a historic high of 3.6M.

2. The total locked value ( TVL ) rose from 2.8 billion dollars to nearly 4 billion dollars in May, returning to the highest level of the bull market in 2024.

3. The on-chain trading activity has significantly increased, with an average daily transaction volume approaching 9 million since May, reaching the peak level of the bull market in 2024.

2. Analysis of Popular Projects in the Base Ecosystem

1. Virtual: Innovative Initial Offering Mechanism Ignites Market Enthusiasm

Virtual is one of the most notable projects in the Base ecosystem recently, and its innovative new issuance mechanism has quickly attracted a large amount of capital and user participation. The price of the VIRTUAL token surged from $0.5 in mid-April to a high of $2.5 in early June, an increase of 400%.

The core advantages of the Virtual IPO mechanism:

• Extremely low financing price: Each new project raises funds with a market value of 42,425 virtual (approximately $224,000), allowing users to participate at a very low price, with significant potential for profit.

• Token Linear Unlocking: The new project adopts a transparent token economic model similar to VC coins, unlocking in batches.

• Low-risk participation: Full refund in case of fundraising failure, and only a small number of selected projects are released daily, with generally high quality.

• Reduce the probability of project teams absconding: Set a 1% fee, with 70% returned to the project team, creating a virtuous ecological closed loop.

However, as the platform's popularity soared, early users frequently adopted a strategy of buying new tokens and selling them immediately to obtain short-term high returns, which led to significant selling pressure on new projects. To maintain ecological stability, Virtual launched a "Green Lock Mechanism" in mid-June, imposing a mandatory lock-up period for new token buyers. This measure, while helping to curb early selling and extend the project lifecycle, also significantly altered the original speculative logic, resulting in an extended profit cycle for users, decreased capital efficiency, and a temporary decline in market enthusiasm. The price of Virtual subsequently entered a downward channel, falling from its peak to $1.69, a drop of over 37%.

2. Kaito: Pioneer in the Attention Economy

As a leading project in the "Information Finance (InfoFi)" track, Kaito's price has risen from $0.79 to a peak of $2.41 since May, an increase of nearly 205%.

The core highlight of Kaito lies in its Yaps module, which "tokenizes attention" by incentivizing users to create high-quality content around popular projects based on the content they publish on social platforms, thereby building a content-driven influence mechanism for Web3 dissemination. This mechanism greatly enhances community engagement, complemented by weekly airdrops and leaderboard rewards, allowing users to both "voice" and "monetize," while also attracting a large number of content creators and opinion leaders, effectively promoting the prosperity of social and narrative content on Base.

In addition, Kaito has launched the Yapper Launchpad system based on points ranking and the AI-driven information network Kaito Connect, achieving a collaborative closed loop among content contribution, points distribution, and project selection. Users can not only obtain airdrop eligibility and governance rights on the platform through Yaps, but also participate in project leaderboard voting and quality content incentives, forming a unique "create while investing" logic. Kaito Connect provides an open InfoFi network, allowing ordinary users to receive rewards for their information contributions. This model, anchored in content as a value point, brings a new narrative to Base that differs from traditional DeFi and opens up new imaginative spaces in the intersection of social and financial integration.

III. Future Development Trends of Base

In June 2025, the U.S. Senate passed the GENIUS Stablecoin Act, establishing a legislative framework for USD stablecoins, marking the first time regulators have legally affirmed the compliant status of digital assets. Against this backdrop, Base has begun three major initiatives as a compliant on-chain trading entry point:

Step 1: Open the compliance asset on-chain channel

A certain trading platform is promoting the deep integration of its centralized trading platform with the Base chain, launching the Verified Pools feature. KYC users can directly use their account balances to interact with DApps on Base, without the cumbersome wallet switching and on-chain transfer processes. Currently, a certain DEX has already been established as its on-chain trading platform. Although this feature is still in its early stages, this direction is highly consistent with the trend of many centralized trading platforms pushing for the integration of on-chain and off-chain.

Step 2: Co-build a compliant stablecoin system with traditional financial institutions

Base further collaborates with Wall Street financial giants to pilot the issuance of "compliant stablecoins" and "deposit tokens" on the blockchain. These assets are directly custodied by regulated banks and possess traditional financial attributes such as interest yield, legal protection, and bank insurance, far exceeding the trust foundation of typical crypto stablecoins. This move signifies that not only can the US dollar circulate on-chain, but the core asset structure of the traditional financial system will also undergo digital migration, thus evolving Base into the on-chain carrier layer for traditional finance.

Step 3: Build a Diverse Ecological Scenario

In order to enhance the practical use cases of on-chain US dollars, Base is actively promoting the diversification of the ecosystem, covering multiple dimensions:

• On-chain US stock trading: Plans to launch tokenized stock products that allow users to trade US stocks on-chain, breaking the geographical limitations of traditional securities markets.

• Linking with stablecoin issuers' ecosystems: Providing stronger clearing infrastructure for stablecoins like USDC, allowing DeFi, RWA, or cross-border payment projects on Base to directly access global stablecoin payment channels.

• Global crypto payments: Collaborate with e-commerce platforms to integrate stablecoins into the checkout process, expanding the practical application of on-chain US dollars in cross-border settlement.

• Compliant DeFi and On-chain Credit: Guiding DeFi projects to operate in compliance through KYC modules, providing stable and auditable on-chain services such as trading and lending for institutions and retail investors.

• AI Agent and innovative applications like InfoFi: creating more on-chain innovative gameplay to attract traditional users to participate.

Through these three major initiatives, Base has not only built a "fast track" for compliant asset entry but also constructed a complete value closed loop for USD stablecoins—from fiat currency on-chain, to on-chain deposit and circulation, and finally to the realization of real-use scenarios.

4. High-Potential Projects in the Ecosystem

1. A certain DEX platform: As a DEX integrated into the main application, it is expected to receive continuous and stable institutional liquidity support, driving the growth of trading volume, TVL, and platform revenue.

2. A high-performance RWA public chain: It features millions of TPS and sub-second transaction confirmation, has been validated for performance authenticity through independent stress testing, and has received support from multiple institutions. It is expected to engage in deep cooperation with Base in the direction of RWA compliance in the future.

3. Creator Bid: Launched version 2.0 in collaboration with Kaito, incorporating new mechanisms such as staking and new offerings to enhance user engagement and expand creator economy gameplay. The new mechanism has driven the BID token to break its historical market value to $150 million in a short period, demonstrating initial effects in terms of user engagement and community enthusiasm.

4. Upside: The first social-oriented prediction market platform on Base, where users can convert social media content into "content tokens" and vote and trade using stablecoins. Although tokens have not yet been issued, the innovative design combining social prediction and investment mechanisms has attracted early users to participate, demonstrating potential to become a new application on Base with both liquidity and content attributes.

Currently, Base is gradually evolving from a "trading-active" L2 network to a "well-structured" on-chain financial and content infrastructure. From innovative mechanisms to the construction of an on-chain dollar value system, although some hot projects face challenges of waning popularity and user speculation in the short term, from a long-term perspective, the narrative continuity and institutional linkage ability demonstrated by the Base ecosystem suggest that it may become the bridge for traditional capital to enter Web3 in the next stage. For investors, Base is no longer just a hot rotation track, but an important sample to observe the "compliance, financialization, and practicality" transformation path of the cryptocurrency industry.