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Dogecoin, Shiba Inu And Other Memecoins Fueling Mass Adoption Of Base's L2 Network, Coinbase Exec Says: 'They Are Going To Be One Of The Biggest Drivers'

Published 23/04/2024, 13:03
© Reuters.  Dogecoin, Shiba Inu And Other Memecoins Fueling Mass Adoption Of Base's L2 Network, Coinbase Exec Says: 'They Are Going To Be One Of The Biggest Drivers'
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Benzinga - In a recent development, Jesse Pollak, the creator of Base of Coinbase, has attributed the burgeoning adoption of the layer-2 network, backed by Coinbase, to the rise of memecoins which includes Dogecoin (CRYPTO: DOGE), Shiba Inu (CRYPTO: SHIB), Dogwifwhat (CRYPTO: WIF) among others. This has led to a substantial influx of users into the Base ecosystem.

What Happened: Pollak, in a recent video on social media platform X, emphasized the influence of memecoins in integrating a significant number of users into the Base ecosystem, Daily Hodl reported on Tuesday. He pointed out that memes are a key factor in attracting new users, with speculation playing a role.

Pollak expressed confidence in the adoption of Base, stating that memecoins are primarily engaging people through creativity. He elaborated that memecoin creators aim to draw more people to their specific meme by mobilizing their community and experimenting with various creative pursuits.

See Also: Bitcoin Transaction Fees Dive To 5-Year Low Following Halving

According to Pollak, this strategy is leading to a “Cambrian explosion” of onboarding experiments, with creators constantly striving to propagate their culture to a larger audience.

"I think the thing we've built more conviction on is that in the years ahead, we're actually going to see these memes onboard millions more people. They are going to be one of the biggest drivers because they are doing that work kind of constantly to onboard more and more folks and to do that in a really creative way," he added.

Why It Matters: The rise of memecoins, once considered a niche and volatile digital token, has taken a surprising turn. These tokens, often inspired by internet jokes and dog-faced avatars, are experiencing a surge in popularity, raising questions about their potential as a genuine asset class.

Furthermore, the meme coin landscape has evolved significantly since the last Bitcoin halving, with the market capitalization of meme coins standing around $49.3 billion, according to CoinGecko data.

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