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Base Sees $4.3B in Outflows as Ethereum Reclaims Top Spot in Cross-Chain Flows
Coinbase’s Layer 2 network, Base, has experienced significant capital outflows in 2025, losing the strong momentum it enjoyed last year and marking a dramatic shift in the landscape of cross-chain bridge activity.
Base, developed by Nasdaq-listed Coinbase, was the leader in 2024 for attracting funds through cross-chain bridges, boasting a net inflow of $3.8 billion—the highest among the top 20 blockchains. However, data from the Artemis Terminal now shows Base has suffered a net outflow of $4.3 billion so far this year, reversing its prior position as a top performer.
In contrast, Ethereum, the largest smart contract platform, has staged a comeback. After recording a net outflow of $7.4 billion in 2024, Ethereum has welcomed net inflows of $8.5 billion this year, signaling a shift in investor preference back toward the Layer 1 giant.
The slowdown in Base’s momentum is also reflected in stablecoin activity. The total supply of stablecoins on Base has plateaued above $4 billion since mid-May, accompanied by a decrease in trading volumes, according to charts tracking the network’s activity.
Meanwhile, data from L2BEAT reveals a sharp drop in ether (ETH) held on Base. Over the past four weeks, ETH deposits have plummeted from 1.82 million ETH to just above 835,000 ETH. This decline mirrors a broader trend of ETH moving off various Layer 2 solutions in recent weeks, noted Michael Nadeau of The DeFi Report on X.
Viktor Bunin, Protocol Specialist at Coinbase, offered some insight into the cause of these outflows. According to Bunin, much of the withdrawal activity stems from Binance shifting funds back to the Ethereum Layer 1 network.
“The vast majority is just Binance withdrawing to L1,” Bunin shared on X. “They kept an ungodly amount on the L2s. It’s unclear if they were receiving incentives to keep it there or simply didn’t balance across their supported chains.”
Cross-chain bridges remain essential infrastructure in crypto, allowing tokens and data to move between different blockchains and enhancing interoperability across the ecosystem. The recent shifts highlight how quickly capital can migrate within the decentralized landscape, reshaping which networks attract the most liquidity.
