Coinbase’s Base token could be worth as much as $34 billion, JPMorgan says

JPMorgan analysts said Coinbase could unlock up to $34 billion in value through the eventual launch of a Base network token, calling it a major new monetization path alongside the company’s push into USDC yields and onchain trading.

The report, published Friday by JPMorgan’s equity research team, raised Coinbase’s rating and lifted its December 2026 share price target to $404, citing “emerging monetization opportunities and abating risks” as the company leans further into its Layer 2 ecosystem and stablecoin economics.

JPMorgan said a Base token could “equitize the success” of Coinbase’s Ethereum-based Layer 2 network, which launched in August 2023 and has since grown to more than $5 billion in total value locked and over 9 million daily transactions according to DefiLlama data.

Coinbase Base TVL and Daily Transactions. Source: DefiLlama

Based on current network activity and “lofty token economics,” the bank modeled a $12 billion to $34 billion market cap over time, with Coinbase likely retaining 40% of supply equal to roughly $4 billion to $12 billion in equity value.

The projection follows Coinbase’s own recent comments suggesting it is “beginning to explore” a native token for Base. At the BaseCamp conference in Vermont last month, Base creator Jesse Pollak said a token could accelerate decentralization and “expand opportunities for builders.” CEO Brian Armstrong later confirmed on X that Base is exploring the idea but has “no definitive plans.”

JPMorgan also pointed to Coinbase’s USDC yield program as a potential margin lever. The firm currently passes most of the interest it earns from Circle’s USDC reserves, about $400 million per year, back to customers as rewards.

But analysts said Coinbase is evaluating a change that would limit those payouts to Coinbase One subscribers, similar to the tiered model used by Robinhood Gold. If regular users stopped earning yield, Coinbase could retain roughly $374 million annually that it now distributes to customers.

Finally, analysts pointed to Coinbase’s integration of a DEX aggregator within the Base app as a way to hedge against the growth of decentralized exchanges, which now account for roughly 25% of total spot crypto trading volume.

Coinbase shares are trading around $355 according to The Block price data, making JPMorgan’s $404 price target by next December appear attainable, especially given the stock’s record high near $430 in July, when the GENIUS Act stablecoin bill was passed.