Base network is quickly emerging as one of the most closely watched Ethereum layer-2 platforms in the crypto ecosystem.
Backed by Coinbase’s incubator and guided by Jesse Pollak, it is aiming for a bold target: $10 billion in total value locked (TVL) by 2025.
Key Points
That goal is more than a headline number.
It reflects an effort to combine Ethereum’s security with faster, cheaper transactions in a way that makes sense for startups, decentralized applications (dApps), and businesses looking for real-world use cases.
As tokenization, stablecoin payments, and crypto-based payroll solutions gain traction, the Base network is positioning itself as a foundation for these emerging financial models.
At the same time, it must overcome community skepticism shaped by past failures and ongoing regulatory uncertainty.
What Is the Base Network and Why It Matters
The Base network is an Ethereum layer-2 solution developed out of Coinbase’s incubator.
Its core promise is straightforward: enhance transaction efficiency and lower costs while still leveraging Ethereum’s underlying security.
By operating as a layer-2, the Base network aims to provide a scalable environment where developers can deploy dApps without facing the high fees and congestion that often affect mainnet Ethereum.
This makes it particularly attractive for startups that need predictable, low-cost infrastructure to experiment and grow.
The network’s ambitions are clear.
Under Jesse Pollak’s leadership, Base is targeting a TVL of $10 billion by 2025, a milestone that would place it among the more prominent players in the layer-2 space.
But its significance goes beyond raw metrics.
The Base network opens up a broad canvas for applications ranging from decentralized finance (DeFi) protocols to sophisticated tokenization strategies, offering businesses and builders a new operating base inside the blockchain ecosystem.
Tokenization on Base: Opportunities and Risks for Startups
For startups, one of the most compelling use cases on the Base network is tokenization.
By turning real-world assets into digital tokens, young companies can unlock liquidity that is often difficult to access through traditional channels.
Tokenization on a scalable layer-2 can help broaden the investor base.
Instead of being limited to a small circle of private investors, startups can reach a wider audience that can buy, trade, and hold tokenized assets with fewer frictions.
The advantages run deeper than access to capital.
On the Base network, startups can reduce operational costs through greater automation, especially around compliance.
KYC (Know Your Customer) and KYB (Know Your Business) processes can be streamlined, cutting down on manual work and making it easier to manage both investors and assets.
This efficiency can translate into faster capital raising and smoother investor relations.
With a digital record of ownership and programmable rules, managing complex cap tables or revenue-sharing arrangements becomes more manageable.
However, the benefits come with significant drawbacks.
Compliance is a major challenge: startups must navigate a patchwork of jurisdictional laws and regulatory requirements that continue to evolve.
The market for tokenization itself is becoming more crowded.
As more companies pursue similar strategies, standing out becomes harder, and the pressure to differentiate product offerings intensifies.
Security is another serious concern.
Tokenized assets on any network, including the Base network, can be targets for hacks and fraud.
A single breach can undermine trust, damage a brand, and discourage both users and investors from participating.
How Base Network Growth Could Shape Crypto Payroll for SMEs
The growth of the Base network is also closely tied to the evolving world of crypto payroll, particularly for small and medium-sized enterprises (SMEs) in Europe.
Its scalability and relatively low transaction costs create favorable conditions for using stablecoins as a payment rail.
With typical transaction fees commonly under $5, the Base network can make it economically viable for SMEs to pay employees in cryptocurrency.
That is especially relevant for companies with global or remote teams, where traditional cross-border payments can be slow and expensive.
Using stablecoins on a layer-2 platform can help streamline payroll operations.
Payments can be executed more quickly, with transparent on-chain records that simplify tracking and reconciliation.
Regulatory compliance remains a key factor in Europe, where frameworks like MiCA (Markets in Crypto-Assets) are taking shape.
As those rules evolve, Base’s infrastructure could help businesses adapt by offering a consistent, programmable environment for compliant payments.
Crypto payroll solutions also carry strategic benefits for talent acquisition.
Younger workers and crypto-native professionals are increasingly open to being paid, at least partially, in digital assets.
By adopting payroll flows on the Base network, SMEs may appeal to candidates who value innovative compensation methods.
There is also a financial inclusion angle.
By facilitating payments in crypto, businesses can reach workers who are unbanked or underbanked, giving them access to digital financial services even without traditional bank accounts.
Community Skepticism and Its Impact on Adoption
Despite its potential, the Base network must operate in an environment marked by deep community skepticism.
Events like the collapse of FTX have left lasting doubts about the safety, transparency, and reliability of crypto platforms and DeFi systems.
Those trust issues are a major barrier to the adoption of both tokenization and crypto payroll.
For creators, founders, and workers, confidence in the underlying infrastructure is essential before they commit income or intellectual property to token-based models.
Volatility adds another layer of concern.
The unpredictable price behavior of many crypto assets can make people hesitant to rely on tokenized instruments for regular income or long-term financial planning.
If users question the security, stability, or integrity of tokenized assets on any chain, including the Base network, their willingness to participate drops.
That skepticism can shrink liquidity, reduce market depth, and ultimately slow the development of creator monetization tools and revenue-sharing mechanisms.
This dynamic poses a challenge for the broader vision around Base.
Even with strong technical fundamentals and clear business use cases, adoption depends on rebuilding trust that has been eroded by past industry failures.
What Future Developments Could Mean for the Base Network
Looking ahead, several potential developments could shape the next phase of the Base network.
One of the most closely watched possibilities is the introduction of a native token.
While there have been no official announcements, a Base-native token could expand the network’s financial capabilities.
It might enable new features across lending, staking, and other financial services, deepening the range of DeFi-style applications on the platform.
Regulatory guidance will be critical in determining how far and how fast those applications can grow.
The Base network’s team is likely to adapt its offerings to align with emerging rules, seeking a balance between innovation and compliance.
Community engagement will also be central to Base’s trajectory.
By cultivating an active, vocal user base, the network can gather feedback that helps refine products, improve user experience, and inspire new use cases.
A strong community can drive experimentation with tokenization models, payroll tools, and creator monetization strategies that highlight what the Base network can do in practice.
If that engagement deepens, it may help counteract skepticism and gradually rebuild trust.
Base Network’s Role in the Future of Finance
The Base network stands at a pivotal point in the broader crypto narrative.
Its lofty TVL target, focus on scalability, and connection to Coinbase’s incubator give it visibility and momentum.
For startups, Base offers an infrastructure where tokenization can unlock liquidity, automate compliance, and streamline investor and asset management—while still demanding careful navigation of regulation, competition, and security risks.
For SMEs, especially in Europe, the Base network could become a backbone for crypto payroll solutions that use stablecoins to simplify compensation, widen access to financial services, and appeal to a new generation of workers.
Yet none of this is guaranteed.
Community skepticism, shaped by volatility and past collapses, remains a powerful headwind.
Without stronger trust, creator monetization, token-based revenue sharing, and payroll innovations may struggle to reach their full potential.
Future steps—such as the possible launch of a native token, tighter integration with evolving regulations, and deeper community engagement—will play a large role in determining whether Base reaches its $10 billion TVL goal and secures a lasting place in the financial landscape.
What is clear for now is that the Base network has become a meaningful force in the conversation about how blockchain technology can support real-world business models.
If it can successfully bridge technical capability, regulatory clarity, and user trust, it could help define the next chapter of tokenization, DeFi, and everyday crypto use.
