The term “Degen play” has long been associated with Solana, but as the market becomes increasingly saturated, the Base chain is emerging as a new hotspot for the next generation of “Degen players.” The rise of notable tokens and AI agents is adding a new dimension to Base’s potential. This article explores why meme culture on the Base chain could lead the market in Q4 2024.
1. The Rise of Base: Why Choose Base?
Base is an Ethereum-based Layer 2 solution that stands out for its low transaction fees and user-friendly on-chain operations. It allows millions of users from centralized exchanges to easily engage in on-chain activities without needing to create wallets or backup seed phrases. As of now, Base boasts a total locked value (TVL) exceeding $2.49 billion, with daily trading volumes reaching $613 million.
On October 26, 2024, Base led all chains in stablecoin trading volume, hitting $18.1 billion and capturing 30% of the market share. This influx of users has solidified Base’s position among the top five blockchains by TVL, following Ethereum, Tron, Solana, and BNB Chain.
According to the latest a16z “State of Crypto Report,” Base’s monthly active addresses have surpassed 22 million, accounting for over 42% of total active users on EVM chains. This vast user base provides a solid foundation for “Degen play.”
2. Meme Culture on Base: The Intersection of AI and Memes
The popularity of meme coins on Base began with the rapid rise of $GOAT, which reached a market cap of approximately $900 million within two weeks, fueling expectations of a new “meme coin supercycle.” Many projects, such as @virtuals_io, are creating unique trends by combining AI agents with meme coins on the Base chain.
For example, $LUNA’s market cap stands at $178 million, $GAME at $10.7 million, $CONVO at $5.8 million, and $MISATO at $2.5 million, with these AI meme coins expected to grow further in the coming months.
In the first half of 2024, AI became a hot topic in the blockchain space, while the second half is poised to be a golden period for meme culture. Base’s AI meme coin, such as $ai16z, is particularly garnering market attention, with a virtual Marc Andreessen sharing a vision for the AI era through a DAO. Holders can participate in investment decisions within the a16z network, making the integration of AI and meme culture more compelling.
3. Community Engagement and FDV/Holders Ratio
Beyond the influx of capital and soaring market caps, the community engagement and FDV/holders ratio for meme coins on Base are also vital indicators. For instance, the $DEGEN token has a market cap of $121 million with nearly 800,000 holders; $TOSHI stands at $51.2 million with over 460,000 holders; and $TOBY has a market cap of $13.9 million with over 1 million holders. This healthy ratio between holder numbers and market cap reflects strong community support, enhancing the tokens’ potential for price appreciation.
While the FDV/holders ratio may not be a common evaluation metric, it provides useful insights into community vitality and potential growth.
Conclusion
The potential of meme culture on the Base chain, particularly the anticipated “meme coin supercycle” in Q4 2024, presents new opportunities and hotspots in the market. As the integration of AI and meme coins deepens, Base is becoming a more attractive hub for “Degen play” than Solana.
In future investments, traders should focus on community support and innovative narratives surrounding these tokens while exercising caution and conducting thorough research (DYOR) to seize potential opportunities.
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