The Thriving Development of the Base Ecosystem and Emerging Narratives

Recent Changes in the Ecosystem

Since the end of May 2025, the Base ecosystem has entered a significant "explosion period". The number of daily active addresses, total locked value (TVL), and daily transaction volume of ecosystem users have all shown a rapid upward trend. This wave of ecological explosion is mainly driven by the successive hype of several popular narratives, attracting widespread attention from the market. From a macro perspective, the global stock market's optimistic sentiment towards the stablecoin concept is also spreading, especially against the backdrop of a potentially improving regulatory environment, making Base a more favored choice for traditional institutions.

• The number of active users has grown exponentially, recently reaching an all-time high of 3.6 million.
• TVL rapidly climbed from $2.8 billion in May to nearly $4 billion, returning to the highest levels of the 2024 bull market.
• Since May, the average daily trading volume has approached 9 million transactions, reaching the peak level of the bull market in 2024.

Popular Project Analysis

Virtual: Innovative New Mechanism Ignites the Market

Virtual has quickly become one of the most notable projects in the Base ecosystem thanks to its unique token launch mechanism. Its token price soared from $0.5 in mid-April to a peak of $2.5 in early June, marking a staggering increase of 400%. The core advantages of Virtual's token launch mechanism include:

• Extremely low financing price
• Token Linear Unlocking Model
• Low-risk participation mechanism
• Incentive design to reduce the likelihood of project parties running away

However, as the platform's popularity rises, early users frequently adopt the "buy new and sell" strategy to obtain short-term high returns, resulting in significant selling pressure on new projects. To address this issue, Virtual launched a "Green Lock Mechanism" in mid-June, imposing a mandatory lock-up period for users participating in new listings. This measure, while helping to curb early selling and extend the project lifecycle, also significantly alters the original speculative logic, leading to an extension of the profit cycle for users, a decline in capital efficiency, and a phased retreat of market enthusiasm.

Kaito: Pioneer of the Attention Economy

As a leading project in the "Information Finance (InfoFi)" sector, 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 the "attention" of users based on the content they publish on social platforms, incentivizing users to create high-quality content around popular projects and establishing a content-driven influence mechanism for Web3 communication.

Kaito has also launched the Yapper Launchpad system based on points ranking and the AI-driven information network Kaito Connect, achieving a collaborative closed loop for content contribution, points distribution, and project selection. This model, anchored in content as value, brings a new narrative to Base that distinguishes it from traditional DeFi, opening up new imaginative spaces in the intersection of social and financial sectors.

Future Development Trends

With the U.S. Senate passing the GENIUS Stablecoin Act, establishing a legislative framework for USD stablecoins, a trading platform has begun its three major strategies as a compliant exchange in the U.S.:

1. Connect to on-chain assets through Base, serving as a compliant entry point for on-chain transactions.
2. Collaborate with traditional financial institutions to issue compliant stablecoins on Base, facilitating the on-chain integration of traditional financial funds.
3. Establish a diverse range of content in the Base ecosystem, including on-chain US stocks, compliant payments, DeFi, AI Agents, etc., to attract traditional capital inflow.

These three major measures not only create a "fast track" for compliant assets to enter the market but also build a complete value closed loop for US dollar stablecoins—from fiat currency on-chain, to on-chain deposit and circulation, and finally to the landing of real use cases.

Outlook on High-Potential Projects

• Aerodrome and a certain DEX: As a leading ecological DEX, it is expected to gain continuous and stable institutional liquidity support, driving the growth of trading volume, TVL, and platform revenue.
• Keeta: A high-performance RWA public chain that is expected to engage in deep cooperation with Base in the direction of RWA compliance in the future.
• Creator Bid: Launched version 2.0 in collaboration with Kaito, incorporating new mechanisms such as staking and new project launches to enhance user engagement and expand creator economy gameplay.
• Upside: The first social-oriented prediction market platform on Base, with the potential to become a new type of application that combines liquidity and content attributes.

Base is gradually evolving from a "trading-active" L2 network into a "structurally complete" on-chain financial and content infrastructure. Although some hot projects face challenges from declining popularity and user speculation in the short term, the narrative continuity and institutional connectivity exhibited by the Base ecosystem from a long-term perspective suggest that it may become an important bridge for traditional capital entering Web3 in the next stage. For investors, Base is not only a hot rotation track but also a key sample for observing the "compliance, financialization, and practicality" transformation path of the crypto industry.