Crypto markets saw a mixed bag of news on Thursday and Friday, with Coinbase’s new layer 2 blockchain Base experiencing some hiccups and Yearn Finance’s YFI token surging to its highest level in nearly six months.
Coinbase’s Base had a rough start on Thursday, with users on social media complaining of problems related to an issue with Coinbase wallets. The wallets incorrectly estimated how much gas was required to execute transactions, meaning the transactions couldn’t be processed. Coinbase software engineer Roberto Bayardo said that high demand from users overwhelmed the protocol. Base forms the core of Coinbase’s strategy to expand into the developer business in order to diversify its revenue.
Meanwhile, Yearn Finance’s YFI token surged to its highest level in nearly six months Friday after developers said they will introduce a liquid staking derivatives token. YFI surpassed $10,000 in Asian morning hours to prices not seen since September 2022, as part of a 39% increase this week, with trading volume increasing fivefold. Developers said the forthcoming token would give users exposure to a basket of liquid staking derivatives, which analysts say can help active investors diversify risk.
Overall, the CoinDesk Market Index (CMI) was up 6.3 points, or 0.6%, to 1,132. Bitcoin (BTC) was up 51.4 points, or 0.2%, to $23,900, while Ethereum (ETH) was up 3.1 points, or 0.2%, to $1,647. The S&P 500 futures were down 26.3 points, or 0.7%, to 3,992.50, and the FTSE 100 was up 21.4 points, or 0.3%, to 7,929.14. The Treasury Yield 10 Years was down 0.0 points to 3.88%.
It remains to be seen how the markets will react to the news of Coinbase’s Base and Yearn Finance’s YFI token. However, it is clear that the crypto markets are continuing to be volatile and unpredictable.