Key Insights:
- Coinbase’s Base network could have a $12B–$34B market cap, says JPMorgan.
- JPMorgan raises Coinbase’s stock target to $404, citing new growth opportunities.
- Coinbase explores a native token for its Ethereum-based Layer 2 network.
- The base token could provide Coinbase with new monetization opportunities beyond USDC.
JPMorgan Predicts Potential Value for Coinbase’s Base Token
JPMorgan’s latest report suggests Coinbase’s Base token could achieve a market value between $12 billion and $34 billion. This projection follows the growth of Coinbase’s Ethereum-based Layer 2 network, which was launched in August 2023. With over $5 billion in total value locked and 9 million daily transactions, the network has already shown strong growth.
JPMorgan’s latest report says Coinbase’s potential Base token could be worth up to $34 billion, creating a new monetization path alongside USDC yields and onchain trading. The bank estimates Base’s market cap between $12B–$34B, with Coinbase likely holding about 40% of supply,…
— Wu Blockchain (@WuBlockchain) October 25, 2025
JPMorgan also notes that Coinbase is likely to hold approximately 40% of the supply, which could be worth between $4 billion and $12 billion in equity. The report raises Coinbase’s stock target price to $404 by December 2026, due to the emergence of monetization paths and risk reduction. JPMorgan views the Base token as a key component of this growth, particularly given Coinbase’s interest in on-chain trading and stablecoin yields.
Base Network’s Growing Influence and Token Exploration
Coinbase’s Base network, launched as a Layer 2 solution on Ethereum, has already made a significant impact in the blockchain ecosystem. According to JPMorgan, the success of this network may lead to the launch of a native token, which could further enhance the company’s monetization options.
Coinbase has begun to explore this possibility, with CEO Brian Armstrong confirming that there are no definitive plans yet but that it is actively being considered. Jesse Pollak, creator of Base, noted that such a token could accelerate decentralization efforts while providing more opportunities for developers and builders. If Coinbase proceeds with the token, it could play a vital role in shaping the future of decentralized finance on the Base network.
JPMorgan Focuses on Coinbase’s USDC Yields and DEX Integration
The report also discusses Coinbase’s USDC yield program, which generates around $400 million annually for the company. Currently, Coinbase returns most of the interest from Circle’s USDC reserves to its customers. JPMorgan analysts suggest that Coinbase might adjust this model. If the company restricts yield payouts to premium subscribers, it could retain approximately $374 million annually, thereby increasing its revenue.
Additionally, Coinbase has integrated a decentralized exchange (DEX) aggregator into the Base network. This move aims to hedge against the rise of decentralized exchanges, which now account for 25% of all spot crypto trading volume. This development shows Coinbase’s effort to stay competitive while exploring new ways to generate revenue.
