Coinbase’s Base Faces $4.3B Outflows as Ethereum Dominates with $8.5B Inflows

In a dramatic shift, Coinbase's Layer 2 solution Base has transitioned from a net inflow leader to a net outflow leader in 2024, with $4.3 billion exiting the platform via cross-chain bridges. This marks a stark reversal from the previous year's $3.8 billion inflow. Meanwhile, Ethereum has reasserted its dominance, attracting $8.5 billion in inflows compared to $7.4 billion in outflows during the same period. The data suggests a growing preference for Ethereum's security and stability among investors. This trend highlights the dynamic nature of the cryptocurrency market, where investor sentiment can shift rapidly based on perceived risks and opportunities. As of July 2025, Ethereum's strong performance underscores its enduring appeal, while Base's outflows indicate a potential reevaluation of Layer 2 solutions by the market.

Coinbase's Base Sees $4.3B Outflows as Ethereum Attracts $8.5B Inflows

Coinbase's LAYER 2 solution Base has shifted from a net inflow leader to a net outflow leader in 2024, with $4.3 billion exiting the platform through cross-chain bridges. This marks a dramatic reversal from last year's $3.8 billion inflow.

Ethereum has reclaimed its dominance, absorbing $8.5 billion in inflows compared to $7.4 billion in outflows during the previous period. The data suggests a flight to the security and liquidity of the mainnet as Layer 2 momentum wanes.

Stablecoin supplies on Base have plateaued above $4 billion since May, while bridge activity slows. Ether deposits on the chain collapsed from 1.82 million to 835,000 ETH in just four weeks - a trend mirrored across competing Layer 2 solutions.

Litecoin Challenges Coinbase Over Misleading 'Bitcoin Fork' Label

Litecoin's official X account has demanded that Coinbase correct its classification of the cryptocurrency as a 'fork of Bitcoin.' The exchange's current description implies shared blockchain history—a claim Litecoin vehemently denies.

Coinbase's platform states Litecoin originated from a Bitcoin fork, sharing its transaction history until diverging. This technical inaccuracy misrepresents Litecoin's 2011 launch as an independent blockchain with a distinct genesis block. 'The description needs to change now. It had its own genesis block,' Litecoin's team asserted.

The dispute highlights how major platforms shape market understanding. Mislabeling by influential exchanges like Coinbase risks confusing investors and developers about fundamental blockchain mechanics.