DEGEN Chain Soars 60x in a Month! Polygon Labs CEO Criticizes the Launch of L3 Network

DEGEN Chain Soars 60x in a Month! Polygon Labs CEO Criticizes the Launch of L3 Network

DEGEN Chain Soars 60x in a Month! Polygon Labs CEO Criticizes the Launch of L3 Network

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DEGEN on Base Chain is More Than Just a Meme Coin
L3 Network Degen Chain
Is L3 Network Harmful to Ethereum?

DEGEN, a meme coin born in January 2024 on the decentralized social network Farcaster, has recently become a hot topic on the L2 network Base. In fact, with the strengthening of community consensus, the DEGEN token has gradually moved beyond the realm of meme coins and has become the main tipping token in the farcaster ecosystem. Even the chain-based short video social application Drakula has partnered with Degen, using DEGEN as the primary transaction token.

In addition, last week (March 28th), DAO infrastructure service provider Syndicate launched a dedicated L3 network called Degen Chain for the Degen community (not launched by the Degen community itself), further expanding the narrative of the DEGEN token. Data shows that the price of the DEGEN token has skyrocketed from $0.001 in early March to a peak of $0.06.

Degen Chain is built on Arbitrum Orbit and uses Base Network as the settlement layer, with the DEGEN token serving as the base token for paying GAS on the network. With the existing popularity of the DEGEN token, Degen Chain attracted a large number of users upon its launch, making it one of the first L3 chains to gain significant adoption. Currently, over 1 million DEGEN tokens are locked in cross-chain bridges, and the on-chain trading volume is even higher than networks such as Blast, Avax, Op, Zksync, and Scroll.

However, not everyone supports the enthusiasm for L3 networks like Degen Chain. Marc Boiron, CEO of Polygon Labs, expressed dissatisfaction with L3 networks in a tweet published on Sunday, believing that L3 networks strip away security and value from the underlying layer of Ethereum.

Marc Boiron further commented that if all L3 networks settle to one L2, Ethereum would essentially not capture any value, and thus the security of Ethereum would be at risk.