ANALYZING THE BASE <> OPTIMISM DEAL

Summary from the TLDR Crypto newsletter

Base and Optimism agreed on a deal that gives Base 118 million OP tokens over the next six years. This post analyzes the deal and the dynamics of it for both Base and Optimism. In exchange, Base will give Optimism a percentage of its sequencer revenue. The move mirrors Didi's purchase of Uber in 2016 and could be a clever solution to regulatory concerns about issuing tokens. It also acts as a significant OTC purchase of OP tokens, providing off-exchange liquidity to Optimism amid upcoming unlocks and vesting periods.