Base Bolsters Tokenized Finance with Cobalt Upgrade

Base, an Ethereum layer-2 network, has completed its Cobalt upgrade, enhancing its infrastructure for tokenized finance. The upgrade adds support for multiple compliance requirements, including identity verification and sanctions screening. It also introduces tools for handling corporate actions such as stock splits without minting or burning new tokens.

The Cobalt upgrade includes conditional trading through Validity Transactions, which allows users to submit transactions in advance that are processed only when specific on-chain conditions are met. For example, a swap can be set to execute only when a given asset reaches a target price.

Base plans to pursue a strategy centered on financial applications, including support for gas sponsorship and bundled transactions. It also aims to cut block times to 200 milliseconds from the current two seconds in the coming months.