In terms of current top Layer 2 development in the crypto space, it seems like each project is focusing on very different things, some driven by the core team and others driven by the community. For example, Arb's development is mainly focused on DeFi, and its OP is mainly about scalability.
Among all Layer 2 ecosystems, I think Base's current development is also good, and it should become one of the top L2 projects in the next bull market. Therefore, some potential new projects in the Base ecosystem are also areas worthy of our attention.
Recently, the Base Ecosystem Fund announced 6 investments with the purpose of investing in next-generation on-chain projects based on Base. Base Ecosystem Fund is led by Coinbase Ventures, and the fund’s diverse investments in DeFi, SocialFi, infrastructure and insurance reiterate Base’s ambition to create an inclusive ecosystem for institutions, crypto natives and newcomers .
The six investment projects announced this time are just the first batch, and they should announce more investment projects later. So next, let us first take a look at the first six projects.
The first project is Avantis
Avantis is an Omnichain perp DEX that allows trading with 100x leverage on crypto assets and RWAs such as FX and commodities. As shown below.
Avantis provides a unique LP + risk management model. Specifically, they divide the USDC vault into junior and senior risk parts, and each part absorbs a different fixed percentage of traders' profits and losses, with 65% for junior and 35% for senior. Moreover, the vault also contains an annual interest rate multiplier to incentivize LPs (liquidity providers) to perform partial rebalancing. In addition, in Avantis, depositors can also lock their LP tokens for up to 6 months to receive additional rewards (up to 4 times the regular deposit).
Currently, the project is still in testing, and it is said that the beta waiting list now has more than 50,000 applicants.
The second project is BSX
BSX is currently building a decentralized spot and perpetual DEX, the BSX Exchange, and operates it through off-chain order books and on-chain settlement. Its main product features include:
- Decentralized limit order book (dCLOB) for leveraged trading on Base
- Address current AMM/DEX’s lack of sophistication and efficiency that institutional traders are looking for
- BSX Labs offers limit orders, cross-collateralization, cross-margin and more
But since the product is still in its infancy, I didn't find much useful information for everyone.
The third project is Onboard Wallet
Onboard is a crypto wallet launched by Nestcoin that allows users to seamlessly spend, trade, send and exchange crypto assets through their bank accounts without relying on CEX or third-party OTC providers.
In addition, users can also provide liquidity to the Onboard network as merchants (via KYC) to earn transaction fees. Currently, the wallet enables online and in-store payments in more than 160 countries.
The fourth project is OpenCover
OpenCover is an L2 insurance aggregator that essentially provides protection against protocol failures to protect DeFi users from on-chain risks such as smart contract hacks and oracle failures.
Currently, OpenCover's underwriting capital exceeds US$210 million. They offer over 100 products for protocol hacks and glitches for popular protocols such as Aave, Uniswap, Synthetix, and more, covering everything from the protocol level all the way down to individual transactions.
The fifth item is Paragraph
Paragraph is a Web3 content creation platform that creators can use to create, publish and monetize their content. The core features and functions of the platform include:
- Has search engine optimization capabilities (making your articles better discoverable)
- Highly customizable management + monetization capabilities (creators can manage their own subscription models through NFT and ERC-20 tokens, and provide different access thresholds for different articles)
- Censorship-resistant email and wallet communications (capable of providing permanent storage and censorship-resistant content services based on Arweave)
- Memberships (you can grow a community around your newsletter and provide ownership to your readers by selling NFT memberships)
But as far as the current usage is concerned, Mirror, a product of the same type, seems to be used by more people.
The sixth project is Truflation
Truflation is an on-chain financial oracle built with Chainlink that provides automated, independent daily inflation reporting data by compiling data from 18 million points and more than 40 data sources in real time.
Their current offering, Truflation Premium, gives users unlimited access to their daily CPI data (index data for the US and UK).
Okay, the above is all the content shared through "Hua Li Huawai" today. Let us finally summarize and review together. This article is one of a series of project analysis articles. It mainly sorts out and shares several projects in the Base ecosystem. They are Avantis, BSX, Onboard, OpenCover, Paragraph and Truflation.
I hope today’s sharing can be helpful to everyone. If you have any questions related to the blockchain field, you can ask questions in the community, and we can discuss them together.
Special thanks for this article: WinterSoldierxz, 0xTHades, Senka (cover design)
Disclaimer: The above content is only a personal perspective and analysis. It is only for science learning and communication among enthusiasts and does not constitute any investment advice. Investment is risky, please treat it rationally, increase risk awareness, and abide by the relevant laws and regulations of the country and region where you are located!
