Coinbase's Layer 2 Network Base Faces Disruptions Impacting Upgrades and User Operations

By Patricia Miller

2 min read

Coinbase's Base network experienced multiple outages, delaying key upgrades while ensuring user funds remained safe.

Coinbase’s Layer 2 network, Base, faced two significant outages within a 24-hour timeframe, disrupting block production on June 25 and June 26. These disruptions delayed the highly anticipated Beryl hard fork, which includes the B20 Activation Registry feature. Fortunately, user funds remained safe during both incidents.

What caused the outages and how did they affect operations? The initial halt began at approximately 16:03 UTC on June 25, resulting from a consensus failure due to an invalid block sequence detected after block height 47,806,542. The network remained stalled for around two hours before operations were restored. Shortly after, at 15:34 UTC on June 26, a second outage occurred, seemingly stemming from a similar issue. Recovery mirrored the first incident, with normal block production resuming afterwards. The development team is currently investigating these outages and preparing detailed reports on the causes.

How did these outages impact the Beryl upgrade? Originally scheduled to launch on June 25, the Beryl upgrade was delayed to June 26 at 18:00 UTC to ensure the B20 Activation Registry was fully operational before introducing new features to the network. During this period, Jesse Pollak, the lead builder for Base, kept the community informed by directing users to the network’s status page for the latest updates.

What benefits does the Beryl upgrade bring? The Beryl hard fork brings the B20 native token standard into the fold, promoting cheaper and faster token transfers while retaining compatibility with existing ERC-20 tokens. Additionally, it includes two key changes: a reduction in canonical withdrawal delays— decreasing from seven days to five— and the integration of Reth V2, aimed at enhancing storage efficiency for node operators.

Could sequencer issues lead to more outages in the future? Base had a previous outage on August 5, 2025, lasting approximately 29 to 33 minutes, which was also tied to sequencer problems emerging during high-traffic periods. The network relies on a centralized sequencer to manage transaction orders and block creation. Consequently, when that sequencer fails, the entire network experiences a standstill without an alternative or backup system in place.

Investors monitoring Base need to be aware of the implications of these outages. Following the incidents, the market response was generally subdued, with no immediate negative impacts reported on the prices of ETH or Coinbase stock. Despite having faced three notable outages within a year—each linked to sequencer failures—trading activities, adjustments to positions, and liquidations were all stalled for the duration of the disruptions, highlighting the importance of network reliability. The upcoming B20 token standard's success hinges significantly on developers’ trust in the network’s stability.

Important Notice And Disclaimer

This article does not provide any financial advice and is not a recommendation to deal in any securities or product. Investments may fall in value and an investor may lose some or all of their investment. Past performance is not an indicator of future performance.