A company that is changing the way the world mines bitcoin

CoinDesk 2025-02-10 10:26:46

Base Team Member Refutes Claims That Its Sequencer Coinbase Has Been Selling ETH

A member of layer 2 scaling solution Base has refuted rumors that its sequencer Coinbase has been selling ether (ETH). "Coinbase has accumulated $300M+ in ETH, which is more than 2x all of Base's ETH earnings over time," Base member Kabir.base.eth said on X Sunday. "Base and Coinbase have and continue to hold ETH and publicly disclose our long term holdings (100K ETH+, $300M+)." Kabir added that Base uses offchain custody for security and audit reasons (that's why funds move to Coinbase), stressing that the Ethereum layer 2 solution earns and spends as much as possible in ETH, using it for Layer 1 costs and granting support. CoinDesk reached out Coinbase for a comment on the matter. Kabir's comments came after pseudonymous observer Santisa said Base has been transferring all sequencer fees to Coinbase since the debut, and the sequencer has likely sold these coins. Coinbase is supposedly the only sequencer node on Base that sequences and finalizes transactions in a specified order and improves transaction throughput (speed). Coinbase charges a fee, collected in ETH, for this sequencer role. Santisa's take echoed Sonic Labs founder Andre Cronje's concerns about the use of centralized sequencers in layer 2 solutions that lead to profit models that don't fully align with the broader Ethereum values. In essence, while Layer 2 scaling solutions earn a substantial revenue from transaction fees, they send a small portion of that to the Ethereum mainnet for data availability and security purposes. In other words, most fees collected in ETH is either retained or offloaded into the market, reducing the fee revenue and associated ETH burning on the mainnet. That has an adverse impact on ETH's supply. "L2s are why Ethereum is inflationary again. SCALE ETHEREUM. They can get the Sonic tech for free. 0 charge. Will 1000x their throughput," Cronje said on X .

Meist gelesene Nachrichten

Solo miner snags Bitcoin block reward worth $...
2025-02-11
ADA Pumps 14% as Grayscale Files For Spot Car...
2025-02-11
Don’t look now, but the US Federal Reserve is...
2025-02-11
Binance’s Token Criteria Exposed After TST's...
2025-02-11
Grayscale Files for Cardano ETF, Expanding Cr...
2025-02-11
Ripple Uses XRP To Build Internet of Value
2025-02-11
Top Cryptos to Invest in This Week: How Qubet...
2025-02-11
Bitcoin Reserve Ratio Drops Below 101% in Bin...
2025-02-11

Ähnliche Neuigkeiten

Binance, SEC’s joint motion signals possible case...
11 Feb 2025
Historic Ethereum Outflow: 224,410 ETH Transferred...
11 Feb 2025
Banks expand crypto ties to capture IPO deals unde...
11 Feb 2025
$LAYER Token Now Available in Binance Airdrop Prog...
11 Feb 2025
Bitcoin Surges Above $98,000 Amid Trade War Uncert...
11 Feb 2025
Binance Announces Both Listing and Delisting! Here...
11 Feb 2025

Lesen Sie den Haftungsausschluss : Alle hierin bereitgestellten Inhalte unserer Website, Hyperlinks, zugehörige Anwendungen, Foren, Blogs, Social-Media-Konten und andere Plattformen („Website“) dienen ausschließlich Ihrer allgemeinen Information und werden aus Quellen Dritter bezogen. Wir geben keinerlei Garantien in Bezug auf unseren Inhalt, einschließlich, aber nicht beschränkt auf Genauigkeit und Aktualität. Kein Teil der Inhalte, die wir zur Verfügung stellen, stellt Finanzberatung, Rechtsberatung oder eine andere Form der Beratung dar, die für Ihr spezifisches Vertrauen zu irgendeinem Zweck bestimmt ist. Die Verwendung oder das Vertrauen in unsere Inhalte erfolgt ausschließlich auf eigenes Risiko und Ermessen. Sie sollten Ihre eigenen Untersuchungen durchführen, unsere Inhalte prüfen, analysieren und überprüfen, bevor Sie sich darauf verlassen. Der Handel ist eine sehr riskante Aktivität, die zu erheblichen Verlusten führen kann. Konsultieren Sie daher Ihren Finanzberater, bevor Sie eine Entscheidung treffen. Kein Inhalt unserer Website ist als Aufforderung oder Angebot zu verstehen