DEX trades and MEV strategies have fueled Base’s fee generation.
Base, the Coinbase-incubated Ethereum Layer 2 network, has emerged as the most profitable rollup in the ecosystem, as it generated an average of $185,291 in daily revenue over the past six months.
With the latest figure, Base has far outpaced Arbitrum’s $55,025 and the combined $46,742 of 14 other top Layer 2s.
In its latest analysis, Galaxy Digital explained that Base’s lead is supported by its EIP-1559-inspired fee model, which enables “dynamic” auction-based priority fee collection rather than strict first-come-first-served (FCFS) ordering.
The sequencer prioritizes transactions based on the highest priority fee per unit of gas and allows users to pay premiums for urgent execution. This enables Base to monetize block space demand efficiently.
Ethereum’s Pectra upgrade, which reduced Layer 1 posting costs via blob-enabled data submission, has further improved Base’s efficiency in monetizing block space while maintaining low transaction fees.
While Arbitrum introduced Timeboost in April 2025 to enable slot-bidding for express execution, it remains a predictive, fixed-rate system that is less reactive than Base’s per-transaction bidding. This makes the former less effective at capturing sudden spikes in user demand.
Over the past six months, priority fees alone have averaged $156,138 per day for Base. The chain accounted for about 86% of its daily revenue. Transactions occupying the top slot of each block contributed 30%-45% of daily revenue year-to-date in 2025, while the top 10 slots have accounted for between 50%-80% of daily revenue over the same period.
Meanwhile, “Flashblocks,” which was implemented on the Layer 2 network on July 16, introduced sub-block confirmations that allow high-priority transactions to land in lower slots while still receiving near-instant execution. This has resulted in a more even distribution of priority fees across block slots without reducing overall fee generation. Such a system in place has helped Base maintain strong revenue capture despite changes in slot allocation.
It is important to note that Base’s dominance in decentralized exchange (DEX) activity has been a major driver of its revenue. The network has consistently captured 50%-65% of Layer 2 DEX volume and holds the highest DEX TVL among Layer 2s, excluding perpetual DEX platforms.
Historically, priority fees tied to DEX swaps contributed 50%-70% of daily fees paid to Base. However, this share has declined to around 34% in recent weeks and reflects increased base fees and growing non-DEX competition for block space across the network. Despite this dip, DEX swaps have been observed to be a primary contributor to Base’s fee generation, especially in time-sensitive trades and maximum extractable value (MEV) strategies.
Data also indicates that a small cohort of users dominates priority fee payments, with 250 addresses accounting for nearly 65% of all priority fees paid over the past year.
