The future of the internet is unfolding right now, and you’re part of it. The shift to an onchain economy—where innovation, creativity, and freedom are at the core—isn’t just hype. It’s real, and Base, the Layer 2 blockchain developed by Coinbase, is paving the way for this transformation. If you’ve been watching closely, you know the potential. But what’s often overlooked is how this future is creating one of the best opportunities to capitalize on it: Coinbase stock ($COIN).
The Creation of Base: Solving Real Problems
Base isn’t just another blockchain—it’s the result of years of experimentation by Coinbase to solve real issues around scaling, usability, and cost. With the platform’s launch, Coinbase didn’t just throw another product into the mix—they identified a fundamental need to bring Coinbase and the world onchain. Whether you’re a developer, creator, or business, Base offers the infrastructure to scale without the usual headaches.
A Year of Explosive Growth: $USDC on Base
Consider this: in just one year, the total value of $USDC on Base skyrocketed from around $100 million to over $3 billion, with more than 1 million holders. Transactions are now faster and cheaper than ever, secured by Ethereum’s L1, and open for building decentralized apps (dApps). This is just the beginning. Massive applications are coming, and the broader ecosystem is set to benefit in ways that haven’t yet been priced into Coinbase stock.
Raising Gas Limits: Scaling to Meet Demand
Base has strategically increased gas limits, bringing down transaction costs by more than 10x and attracting a flood of users. With EIP-4844 in place, Base’s goal is to reach 1 gigagas per second, scaling far beyond its current capabilities. This is the kind of scaling the industry has been waiting for, and it’s happening now on Base—while Coinbase continues to be the go-to for developers, creators, and everyday users.
Why Coinbase Stock is the Best Way to Capitalize on Base’s Growth
Here’s the thing: while Base’s fees might not immediately skyrocket Coinbase’s revenue, the positive externalities for Coinbase’s other products are massive—and Wall Street hasn’t fully realized it yet. Coinbase is in a unique position to benefit from the growth of $USDC on Base, which could outperform the Tron-$USDT pairing, while Coinbase Wallet swaps could replace Metamask swaps in the near future.
At its current price of $167, Coinbase has a market cap of $41.69 billion, and it’s expected to generate approximately $2.5 billion in adjusted EBITDA for 2024. When you compare that to the broader market, it becomes clear that $COIN is significantly undervalued given its growth potential. The metrics are all positive this year: growth in Base L2, $USDC expansion, international market penetration, wallet innovation, and more. Yet, none of this is priced into the stock.
Why Coinbase Stock ($COIN) is the Smart Play
- Competition is Disappearing: FTX is gone, Binance is struggling, and Kraken and Gemini are losing ground. Coinbase built solidly during the bear market and is emerging stronger than ever with new derivatives products, the launch of Base, and $USDC use cases. Coinbase is positioning itself as the undisputed leader in the crypto space.
- Regulatory Clarity: For years, regulatory uncertainty in the U.S. held the crypto industry back, but that’s changing. With the approval of Bitcoin and Ethereum ETFs, and Coinbase as the main custodian, the U.S. has become more crypto-friendly than ever. Coinbase is perfectly positioned to take advantage of this shift, and that clarity will drive more institutional investment.
- Crypto is Going Mainstream: Globally, crypto adoption is accelerating. Wall Street is waking up to the fact that strong exposure to the crypto market is necessary, and Coinbase is the best entry point. Unlike a bet on a single asset like Bitcoin, Coinbase offers diversified exposure across the entire crypto ecosystem.
- Financial Strength: Coinbase is more profitable and efficient than ever, producing more with fewer employees and lower operating costs. The company has been building during the bear market and is set to thrive as the market matures.
Base: The Backbone of Future Innovation
Base is already delivering massive growth with $USDC and is creating the infrastructure for the next wave of decentralized apps and social experiences. With users transacting faster and cheaper than ever before, secured by Ethereum’s L1, Base is making crypto accessible to everyone. You can expect major applications to launch on Base in the near future, driving even more users and use cases to the platform.
Conclusion: The Untapped Value in Coinbase Stock
You’ve heard the noise about Base and Coinbase, but the real opportunity here is in $COIN. Base may not drastically change Coinbase’s revenue tomorrow, but it’s driving growth in key areas that aren’t yet priced into the stock. With $USDC growing rapidly, new applications coming, and Coinbase Wallet swaps set to become the new standard, Coinbase is positioned to dominate the onchain future.
At $167 per share and a market cap of $41.69 billion, Coinbase is trading at a significant discount relative to its potential upside. As Base continues to grow and bring new users into the ecosystem, Coinbase’s value will rise with it. Stay based, stay focused, and don’t miss out on one of the best opportunities in crypto today.