Coinbase CEO Armstrong Says Base Is Not a ‘Monetization Plan’

  • Coinbase CEO Brian Armstrong talked about Base in a recent podcast
  • Armstrong Confirms No Plans for Layer 2 Blockchains to Issue Tokens

Coinbase CEO Brian Armstrong recently appeared on a podcast hosted by Bankless. In the podcast, Armstrong talked about his company’s recently launched layer 2 blockchain, Base. The Coinbase executive also shared his insights into the future of the company and the products the cryptocurrency exchange has in place for the future.

No plans Base Token

Speaking of Base, the layer 2 blockchain introduced by the cryptocurrency exchange last month, Armstrong claimed that the overall sentiment behind the project is one of wanting to contribute to the cryptocurrency space by building, not just by policy and cryptocurrency Stakeholder engagement made.

“Despite the regulatory environment and negative headlines, we have to make sure we continue to innovate in this industry,” he said.

As for Base’s use case, the Coinbase CEO said the goal is to make the cryptocurrency more scalable and usable as its adoption grows. Additionally, the new blockchain will also be used to reduce the cost of Ethereum transactions to one penny.

Here, it’s worth noting that Armstrong clarifies that Base isn’t meant to generate revenue for the company. In fact, this is not a monetization plan, the executive reiterated. According to the CEO, since blockchain is still in its infancy at the moment, users should keep their hopes and expectations alive. Also, it’s worth emphasizing that Base currently has no plans to introduce a native token.

In terms of Base’s use case, Armstrong sees one possible use of layer 2 blockchains as reducing USD Coin payment fees. In addition, it can also be used to make the experience of DeFi games and NFTs seamless.

Here, it must be noted that the exchange is working on integrating its NFT platform with its mobile application. Additionally, the platform is currently shifting to a subscription and service model to maintain steady revenue.

Coinbase’s “long game”?

Armstrong also spoke about the long-term development of Coinbase, the executive said that the company is more concerned with doing things the right way in accordance with guidelines and regulations. This, rather than bear the pressure from competitors to grow and develop. In some ways, this could be interpreted as a dig at Binance — one of the world’s largest cryptocurrency exchanges and a welcome target for regulation.

Information source: compiled from AMBCRYPTO by 0x information.Copyright belongs to the author, without permission, may not be reproduced

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