Coinbase rolls out its own ethereum-powered blockchain network

Coinbase Global ( NASDAQ: COIN ) is debuting a testnet of its own ethereum-secured blockchain network in a bid to make it easier for developers to build decentralized applications, according to a blog post dated Thursday. The testnet will allow developers to test out the new layer 2 network, called Base, to avoid any interruptions before the formal launch. So-called layer 2 solutions help networks improve speed and reduce transaction fees as they build on top of layer 1s. Base is being marketed as "a home for Coinbase’s ( COIN ) onchain products and an open ecosystem where anyone can build," the company said. The launch comes as the centralized exchange seeks to reduce its dependence on revenue from retail trading , which has been hurt by a lingering market downturn. In addition, Base will provide secure access not just to ethereum ( ETH-USD ), but also to solana ( SOL-USD ) and layer 2 networks like Optimism. Coinbase ( COIN ) said it's joining the Optimism network as a core developer on its developer toolkit, open source OP Stack. At the same time, the firm has introduced Base Ecosystem Fund, which will take stake in and support certain early-stage projects building on Base. In December 2022, Coinbase ( COIN ) was forced by Apple to stop non-fungible token transfers on its iOS wallet app .