Memes Drive User Adoption on Base: A Boom Shadowed by Scams and Vulnerabilities
Summary:
Jesse Pollak, the founder of Base, believes that memes will play a crucial role in attracting millions of users to his layer-2 network. The adoption of memes is driving a surge in onboarding experiments and the total value locked in Base has tripled since revised Ethereum Dencun update. In spite of this growing trend, an investigation revealed that 16.7% of new Base memecoins were scams, and more than 90% presented vulnerabilities.
As the founder of Base, Jesse Pollak believes that memes could be instrumental in bringing millions of users to his layer-2 system, which operates in close connection with Coinbase. The outstanding growth in the total value locked in this system since March has already tripled. In a memecoin-focused hackathon event held in New York City on April 20, Pollak discussed the crucial role of memes within the on-chain economy. He expressed his anticipation for an increase in the adoption of 'based' memes, aimed at merging the world with the on-chain system.
Pollak highlighted the enthusiastic reaction Base has received, and pointed out the significance of memes, which are currently introducing thousands of individuals to this nascent economy. Following the reduction in fees for layer-2 platforms brought about by the mid-March Ethereum Dencun update, there has been a significant rise in the number of memecoins and their transactions on Base. According to data from DefiLlama, Base's total locked-in value increased by almost 250% since the beginning of March, peaking at $1.61 billion on April 21.
Pollak noted that meme creators on Base have innovatively championed the incorporation of more individuals into their communities, beyond mere speculation. This trend has resulted in a surge of onboarding experiments where multiple strategies are employed to attract and engage more people into their culture. Pollak expressed his belief that memes will be a major driving force in bringing millions of new people to Base in the coming years, as they continue to effectively introduce new users to the system using creative methods.
He also mentioned that hundreds of teams and subgroups are continually evolving, building and contributing their cultural nuances and energy to the economy and capital market.
Of the numerous memecoins on Base, BRETT is currently leading the pack with an impressive market cap of $567 million and a dramatic rise in price, by as much as 7,780%, from the beginning of March. Additionally, DEGEN and TOSHI hold market caps of $435 million and $185 million respectively and are some of the other large-cap memecoins on the Coinbase blockchain, as per data from CoinGecko.
Both Solana and Base have attracted a number of memecoin devotees due to their exceptional performance and low charges in recent months. However, a detailed investigation by Cointelegraph revealed that about 16.7% of new Base memecoins were fraudulent, and over 90% exhibited certain vulnerabilities.
Published At
4/22/2024 8:35:26 AM
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