Farcaster, a blockchain-based social media platform, made a price surge of 17% in the Degen token by raising $150 million and injecting it into its community token.
Venture firm Paradigm led the Series A round, with Andreessen Horowitz, Haun, USV, Variant, and Standard Crypto also participating. “support our work on Farcaster for many years.” said Dan Romero, founder of Farcaster, in a social media post on May 21.
A Coinbase executive, Romero, first predicted the fundraising of Warpcast, but he did not share any details at that time.
A report shared by Bloomberg in March stated that the funding round would raise Merkle Manufactory, the company behind Farcaster, to a $1 billion valuation.
“Farcaster is a fledging but quickly growing protocol,” a statement shared by Jesse Walden on May 21.
Romero stated that the price rise will probably attract more users. He stated that since October, there have been “350,000 paid sign-ups and a 50x increase in network activity.”
He added that the platform will focus on increasing daily active users and adding new features like channels and direct messaging to the protocol.
DEGEN, a token created by the Farcaster community and not officially part of the protocol, was boosted by 17% after the fundraising news. The token is currently trading at $0.023, according to Coinmarketcap.
Jacek Trociński created a meme-based DEGEN token, to give as a reward to people writing good content and interacting with the posts.
The token has become popular, prompting Trociński to create the DEGEN chain, a meme coin-focused layer-3 blockchain on Base, with DEGEN as the native gas token.
