The decentralized social media platform Farcaster witnessed a significant drop in the value of its local cryptocurrency DEGEN following its listing on Coinbase.

Impact of Coinbase Listing

Since its listing on Coinbase, a leading US cryptocurrency exchange, DEGEN experienced a decline of 27% from its weekly peak, dropping from $0.011 to $0.008. This token was designed as a reward for active participants on the Farcaster platform and is linked to the Degen Chain built on Coinbase's Base blockchain, where users can develop Degen applications.

Total Supply and Distribution

Launched in January, DEGEN has a total supply of 37 billion tokens. According to the project, approximately 70% of the supply is planned for sale to investors.

Outlook and Analysis

The value decline following increased visibility with Coinbase support is seen as an indicator of market fluctuations. Users and market participants continue to closely analyze the sustainability and future potential of the DEGEN token. In this process, DEGEN’s ecological structure, token distribution, and community-focused system are considered significant factors for the project’s long-term success. The future performance of DEGEN will be shaped by the overall state of the cryptocurrency market and user interest in the platform.

Despite the initial drop in value, DEGEN continues to be monitored by analysts and users thanks to its unique ecosystem and role in the Farcaster community.