JP Morgan Leaks Major Prediction: Coinbase Token May Be the Next $30 B Crypto Explosion

 

JP Morgan Highlights Coinbase Base Token Potential as Crypto Markets Mature

In a move that has caught the attention of investors and analysts across the globe, JP Morgan has highlighted the massive growth potential of Coinbase’s Base network — a Layer 2 blockchain that could soon have its own native token. The Wall Street banking giant’s latest research report outlines how a possible Base token could unlock billions in new value for Coinbase and potentially reshape its position in the rapidly expanding world of decentralized finance (DeFi).

The analysis underscores how traditional financial institutions are no longer simply observing the crypto industry — they’re beginning to participate in it more actively. From JP Morgan’s crypto-collateral lending plans to Coinbase’s on-chain innovation, the financial and digital worlds are converging faster than ever before.

JP Morgan’s Take: Coinbase Base Token Could Unlock Billions

According to JP Morgan’s equity research report, Coinbase’s Base token could achieve a market capitalization between $12 billion and $34 billion, depending on network adoption and tokenomics. The bank’s analysts estimate that Coinbase itself could control around 40% of the total token supply, representing $4 billion to $12 billion in potential equity value for the company.

Source: Wu Blockchain X

Base, launched in August 2023, is Coinbase’s Ethereum Layer 2 scaling network built to make decentralized applications faster and cheaper to use. Since its debut, the network has grown exponentially, boasting over $5 billion in Total Value Locked (TVL) and more than 9 million daily transactions, according to data from DefiLlama. These figures place Base among the top-performing Layer 2 networks globally, alongside Optimism and Arbitrum.

The report suggests that if Coinbase decides to introduce a token, it could “equitize the success of the network,” meaning that community participation and usage would directly translate into economic value for token holders — a model similar to how many decentralized platforms incentivize growth and governance.

Coinbase CEO Brian Armstrong has acknowledged that the company is exploring the idea of a token but stressed that no official plans have been finalized yet. However, if launched, a Base token could serve multiple roles — from governance to staking — and could significantly advance the network’s decentralization goals.

Why JP Morgan Is Bullish on Base

JP Morgan’s report lays out three main reasons for its optimism regarding Coinbase’s Base ecosystem and its potential tokenization:

1. USDC Yield Optimization
   Coinbase is reportedly considering adjustments to its USDC yield program, allowing the company to retain a higher portion of the yield revenues that currently go to users. This move could substantially boost profitability while reinforcing the value proposition of Base as a revenue-generating blockchain hub.

2. Decentralized Exchange Integration
   Base’s decentralized exchange (DEX) aggregator positions it as a powerful player in the DeFi sector. With around 25% of all spot crypto trading now happening on decentralized platforms, Base could emerge as a serious competitor to established DEX networks by offering better scalability and direct integration with Coinbase’s ecosystem.

3. Strong Adoption Metrics
   The network’s rapid growth in transaction volume and liquidity indicates genuine demand from both users and developers. A Base token could capitalize on this momentum, providing incentives for further ecosystem participation and enabling decentralized governance at scale.

Together, these factors point toward a future where Coinbase is not just a centralized exchange but a major player in the Web3 infrastructure layer, bridging traditional finance and decentralized innovation.

Coinbase’s Strategic Shift Toward On-Chain Growth

For Coinbase, the success of Base represents more than just technical achievement — it marks a fundamental evolution in the company’s business model. Historically, Coinbase relied heavily on trading fees for revenue. However, as markets mature and competition increases, the exchange has sought to diversify through staking services, yield products, and Layer 2 development.

The Base network allows Coinbase to capture on-chain economic activity directly, rather than serving merely as a middleman. This shift aligns with a broader trend across the crypto industry — where exchanges are transforming into ecosystem enablers that power decentralized apps, NFT platforms, and DeFi protocols.

JP Morgan’s research underscores this shift, noting that “Base represents a new revenue frontier for Coinbase that could rival its traditional exchange operations in the long term.”

JP Morgan’s Changing Relationship with Crypto

JP Morgan’s stance on digital assets has undergone a dramatic transformation over the past few years. Once a vocal critic of cryptocurrencies, the bank is now quietly integrating blockchain into its institutional finance ecosystem.

Earlier this year, JP Morgan announced it would allow institutional clients to use Bitcoin (BTC) and Ethereum (ETH) as loan collateral, with assets secured by a trusted third-party custodian. This step is more than symbolic — it marks a mainstream acknowledgment of crypto as a legitimate asset class.

The bank’s CEO, Jamie Dimon, who once famously called Bitcoin a “scam” and a “Ponzi scheme,” has taken a more measured stance in recent months. While Dimon still warns of volatility and speculation, JP Morgan’s actions speak louder than words — the firm’s blockchain initiatives and crypto-linked strategies reveal a deepening embrace of digital finance.

As the global economy continues to digitize, JP Morgan’s participation signals that even the most established financial institutions now see crypto as core to future banking operations, not a fringe experiment.

Industry Reaction and Community Buzz

Following JP Morgan’s insights, the crypto community has responded with a mix of excitement and speculation. Analysts from several blockchain research firms echoed JP Morgan’s sentiment, calling the Base network “a sleeping giant within Coinbase’s ecosystem.”

Source: WatchGuru X

Crypto influencers and DeFi builders on social media platforms like X (formerly Twitter) praised the analysis, saying that a Base token could redefine how centralized exchanges participate in decentralization.

Prominent Bitcoin advocate Michael Saylor also weighed in on JP Morgan’s decision to accept crypto collateral, calling it “an inflection point for institutional adoption.” He noted that large-scale banks moving into crypto-backed lending validates the long-term thesis that Bitcoin and Ethereum will underpin a new digital financial infrastructure.

The timing of these developments is particularly notable, coming amid Bitcoin’s 2025 rally and easing U.S. regulatory pressures, which have together reignited optimism across the crypto sector.

The Bigger Picture: Traditional Finance Meets Web3

The intersection of Coinbase’s innovation and JP Morgan’s institutional acceptance paints a picture of a new financial paradigm. Crypto is no longer confined to startups and retail investors — it is being integrated into the infrastructure of global banking.

JP Morgan’s involvement lends credibility, while Coinbase’s Base provides the technology foundation for this new era. Together, they could set the stage for mainstream decentralized finance, where security, scalability, and transparency coexist.

Source: Michael Saylor X

The next logical step will be interoperability — connecting Layer 2 networks like Base with broader institutional finance frameworks. If successful, it would mark one of the most significant milestones in the history of blockchain adoption.

Conclusion: Confidence in the Future of Digital Assets

JP Morgan’s positive outlook on Coinbase’s Base network and its potential tokenization reflects a growing maturity in the cryptocurrency market. The report reinforces that major financial institutions are no longer on the sidelines — they’re now actively building within the crypto economy.

As Coinbase continues to expand its on-chain ecosystem and JP Morgan integrates crypto into its financial services, the line between traditional and digital finance will continue to blur.

In many ways, this could be the start of a new era — one where Wall Street and Web3 no longer operate in separate worlds but collaborate to build the infrastructure of the future.

Writer @Ellena

Erlin is an experienced crypto writer who loves to explore the intersection of blockchain technology and financial markets. She regularly provides insights into the latest trends and innovations in the digital currency space.

 

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