Coinbase Could Generate $34 Billion from Its Base Network, Says JPMorgan

Will the United States really win the crypto battle? On one side, Asia widens the gap in terms of adoption. On the other, Americans redouble their technological ingenuity. And when we look at Coinbase, the answer becomes a little clearer: innovation, long-term vision, and revenue expansion strategy. With the shadow of a future native token for its Base network, the most institutional crypto exchange in the Americas is preparing to cash in a jackpot of several billions.

Base: Coinbase’s Secret Network That Wants to Beat Ethereum at Its Own Game

Since its launch in August 2023, the Base network developed by Coinbase has quietly climbed the ranks in the crypto ranking. Built as a Layer 2 solution on Ethereum, it already accumulates more than $5 billion in total value locked (TVL). But what makes Wall Street shudder is the idea of a native token, currently under study.

JPMorgan does not hold back: in a note published on October 24, the bank estimates that this token could value up to $34 billion the activity on Base. And Coinbase, which could keep 40%, would reserve between $4 and $12 billion in direct value. In short, a growth lever never seen in the American crypto industry.

Jesse Pollak, architect of the Base network, envisions this token as a way to accelerate decentralization while opening the ecosystem to more developers. He sees it as a strategic tool far beyond a simple profit vector.

The goal: to make Base a playground for decentralized finance (DeFi) on a large scale, remotely controlled by Coinbase, but designed to ultimately operate without them.

How Coinbase Reinvents the Subscription Strategy in Web3 Mode

But the Base token is not the only ingredient in the cocktail prepared by Coinbase. The platform also wants to rebalance the distribution of yields related to USDC, the stablecoin issued by Circle. Today, Coinbase returns a large part of the generated interests (about $400 million per year) to its users.

Tomorrow, only Coinbase One subscribers could receive these yields. Inspired by the Robinhood Gold program, this system aims to turn USDC into a premium cash cow, without changing the revenue source: the reserves deposited by users themselves.

Another innovation: Coinbase has integrated a DEX (decentralized exchanges) aggregator directly into the Base app. The goal: to capture the value of these platforms without fighting against them. Max Branzburg, VP of Products at Coinbase, explained it this way:

We’ve seen millions of assets get created and traded on decentralised exchanges, but only few people have been able to navigate those decentralised exchanges to access and trade the assets that they want. Coinbase will be going from one asset 13 years ago in Bitcoin to hundreds of assets today to soon having every asset onchain available to trade in the Coinbase app by default.

A way to absorb the decentralized universe into a centralized interface. Clever.

Crypto, Token, and COIN Stock: What Wall Street Anticipates for 2026

Wall Street does not want to miss the boat anymore. The JPMorgan report is clear: target $404 for Coinbase stock by December 2026, compared to about $355 currently. This would represent an increase of 14%, driven by the combined effect of the Base token, new USDC revenues, and DEX integration.

Kenneth Worthington, analyst at JPMorgan, considers the Base token a true catalyst. He sees it as a tool capable of reflecting network growth while strengthening Coinbase’s ecosystem, already one of the most comprehensive in the crypto sector.

Four key elements to remember:

• $5 B: value locked on Base, Coinbase’s Layer 2;
• 9 million: daily transactions already reached according to DeFiLlama;
• $34 B: possible valuation of the future token, according to JPMorgan;
• $374 million/year: potential revenues by cutting USDC yields to non-subscribers.

Base is no longer a side project. At the end of September, the network exceeded all expectations by dominating the NFT market with 1.27 million transactions in one month. For a network born barely a year earlier, this is a strong message: Coinbase may have already found its best weapon to win the crypto war.