The Zora token, part of the on-chain content protocol Zora, experienced a remarkable surge of more than 60% following the launch of the Base App and its integration with Zora's infrastructure. Last week, Base, a Layer 2 chain incubated by Coinbase, rebranded its wallet app as the Base App, introducing features that emphasize content tokenization with support from both Farcaster and Zora's technology. This integration enables users to create and trade tokens related to social media posts directly within the app. Zora's technology empowers the Base App's content tokenization capabilities, establishing ZORA as a crucial element in this ecosystem. The token facilitates the minting of content coins, payment of referral fees, and participation in various ecosystem incentives. According to Dune analytics, the number of daily coins created via Zora has more than doubled, increasing from fewer than 5,000 to over 10,000 due to the Base App integration. Following the announcement, the Zora token's value increased from approximately $0.0125 to $0.021 within four days, reflecting a growth of over 60%. This rise is attributed to Zora's role in content tokenization, with its fully diluted valuation recovering to over $210 million, up from less than $90 million seen last month. Zora is recognized as a universal media registry protocol built on the Optimism tech stack. Established in 2020, it launched the decentralized, creator-focused Zora Network in 2023. Earlier this year, Zora transitioned into an on-chain social platform on Base, Coinbase’s Layer 2 chain, allowing users to tokenize diverse types of content, including posts, images, and videos, into tradable "content coins." Each content item is converted into an ERC-20 token that has its own liquidity pool on Uniswap, enabling creators to generate income from trading fees. In May 2022, Haun Ventures spearheaded a $50 million funding round for Zora, valuing it at $600 million at the time, with Base’s creator, Coinbase, also being an investor in this project.
❓ What is Zora?
Zora is an on-chain content protocol that enables tokenization of media, allowing creators to monetize their content.
❓ How has the Zora token performed recently?
The Zora token surged over 60% following its integration with the Base App for content tokenization.