Mark Sandman from Morphine is the best known. He used a two-string bass and played slide exclusively. He's dead of a heroin overdose, though. And I have done it since 1978 but nobody cared.
You can get the major benefit of using a slide from using a fretless bass, namely the ability not to be limited to just the fret intervals. I don't think the sort of wailing sound you get from the slide really works that well with the bass though, that is a personal preference on my part though.