In line with the much-anticipated launch of its Layer 2 network, Base, Coinbase announced the multi-week event, Onchain Summer, promising a myriad of activations within the vibrant Web3 space, ranging from art and music to culture and gaming. The initiative aims to increase crypto accessibility while bringing a fun-filled and enriching edge to the user experience.
One of the many attractions of this unique onchain festival is the number of companies, autonomous systems, platforms, and artists onboard, including popular decentralized autonomous organizations (DAOs), Nouns and Friends With Benefits. More fascinating is the participation of major mainstream brands such as Coca-Cola, a testament to the growing intersection of blockchain and mainstream industries.
However, it’s interesting to note that this event also reveals an ongoing trend that may be less about driving crypto culture forward and more about boosting specific onchain activities. The move to encourage users to bridge their ETH to the new network to mint a free Non-Fungible Token (NFT) smacks of a strategic boost for Base’s activity and engagement.
The Onchain Summer isn’t devoid of concerns. With the daily minting of NFTs between August 9 to August 31, the question emerges, is there a risk of oversaturation leading to value dilution? With 31 million NFTs minted by close to 132,000 holders in just one morning, could this diminish the scarcity that gives NFTs their intrinsic value?
On the brighter side, Coinbase is using this festival as a learning opportunity. Throughout August, users can better comprehend why and how different projects choose to build onchain and to engage with friends and creators via Coinbase Wallet. More importantly, all proceeds will bolster the growth of the next generation of builders on Base.
Coinbase’s partnership with Prop House, linked to Nouns DAO, also deserves a mention, as it plans to distribute over ETH 100 in grants to developers choosing Base as their build location. This not only offers a financial incentive to developers but also serves as an endorsement to the potential of the Base network.
The implications of Onchain Summer are numerous, from concerns over value dilution of NFTs to bridging gaps between blockchain and mainstream brands. While the benefits are certainly attractive, one cannot overlook the potential repercussions in a space as mutable as the blockchain industry.
Source: Cryptonews
