Base DEX Surges Past BNB Chain Reaches Record 267K Users
2024
AERO
TBA
BNB
DEX
- Base DEX hits 267K users on June 17, surpassing BNB Chain and trailing only Solana, driven by the active meme market.
- Despite record user activity, Base DEX’s trading volume lags at $394M on June 17, far below its $1.22B peak in March.
- Base DEX’s TVL jumps from $520M to $2B in 2024, signaling strong user confidence despite low trading volumes.
Base DEX, a decentralized exchange, has experienced a significant increase in the number of active trading users, reaching a record high of 267,000 on June 17. This places Base DEX ahead of BNB Chain and second only to Solana in terms of user activity according to Dune. Despite the influx of users, the platform’s trading volume remains relatively low, raising questions about the underlying factors influencing this discrepancy.
Record High User Activity
The surge in user activity on Base DEX is primarily driven by the more active meme market on the Base chain. The popularity of meme coins, known for their speculative nature and high volatility, has attracted a large number of traders to the platform. This trend is reflected in the distribution of trading activity, with Uniswap accounting for 65.1% of trading users, followed by PancakeSwap at 8.2%, and Aerodrome Finance capturing 7.3% of the market.
While the number of active addresses on Base DEX reached an all-time high, the trading volume has not kept pace. On June 17, the platform recorded a trading volume of $394 million, significantly lower than the historical high of $1.22 billion on March 30. This disparity suggests that although Base DEX is attracting new users, these users may not be engaging in substantial trading activities.
Potential Factors Behind the Discrepancy
Several factors could explain the gap between user activity and trading volume. Market conditions, including price volatility and liquidity, might influence trading behavior. Additionally, user behavior patterns, such as holding rather than trading assets, could contribute to the lower volume. The performance and user experience of the platform itself might also play a role in this dynamic.
Positive Indicators and Future Prospects
Despite the low trading volume, the increase in active users is a positive indicator for Base DEX. The platform’s total asset value locked (TVL) has risen from approximately $520 million to $2 billion in 2024, according to DefiLlama. This growth in TVL reflects the increasing confidence and participation of users in the network.
The record number of daily active addresses on Base DEX marks a significant achievement for the platform. However, the lower trading volumes highlight a need for further analysis and potential strategic adjustments. As the platform continues to attract new users, it remains to be seen whether this trend will translate into higher trading volumes in the future. For now, Base DEX stands at a crucial point, balancing user growth with the need to enhance trading activity and market engagement.
Read also
The post Base DEX Surges Past BNB Chain Reaches Record 267K Users appeared first on Crypto News Land.
