Base Chain’s Meme project DINO has announced the launch of a new ERC50 protocol. From the code features, the ERC50 protocol combines the characteristics of Uniswap-V2 to achieve fair distribution. However, in terms of wealth effect, the reasonable Meme coin DINO did not experience a crazy bull market effect.
(Previous summary:
Big Brother Maji responded to the criticism: “You lose money because you believe in me, I will ‘create a project’ and disappear after a year. Sun Ge and I are on different levels!”
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(Background supplement:
Does Layer2 have to rely on Meme coins for speculation? Base Chain TVL doubles, daily active users triple
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Table of Contents
First fair launch of ERC50 protocol
Can a more fair ERC50 bring Meme madness?
Base continues to drain Solana and Ethereum
Apart from the code, no one can be trusted. Perhaps this is the voice of many veteran Meme coin players, especially after experiencing the madness of “Big Brother Maji’s shearing” over the weekend.
First fair launch of ERC50 protocol
On March 29th, a Meme project called DINO started fundraising on the Base Chain, and this statement became the source of their community’s trust. DINO announced the launch of a new ERC50 protocol, which aims to achieve fair distribution, and almost all operations during the presale are written into the contract. This protocol can automatically allocate tokens, lock them, refund them, and add LP to the liquidity pool automatically. According to the project team, the project can achieve: no administrators, no rat holes, no RUG.
In two days, the project eventually raised 301 ETH, with over 1,400 addresses participating in the fundraising, totaling approximately 1.06 million USD. As advertised, half of the tokens and all ETH were injected into the LP liquidity pool and permanently locked. As of the afternoon of April 1st, DINO had 8,968 token holders, and the LP pool size was 8.2 million USD, ranking fourth on the Base Chain.
DINO’s popularity sparked discussions about the ERC50 protocol. A user named @TheDarkRippler tweeted:
Can a more fair ERC50 bring Meme madness?
Currently, the name ERC50 is only adopted by the DINO project and has not become a standard ERC token through voting. On March 27th, a user named WhiteRiverBay released a new protocol called “evm-fair-launch” on Github.
The following points are mentioned in the code explanation:
1. No administrators, no special withdrawal rights, no rat holes, no one can be faster than others, no one can RUG, and all funds raised will be added to the liquidity pool.
2. This contract inherits from the ERC20 token contract.
3. Added fair launch functionality for Uniswap-V2 liquidity pool.
4. Players only need to transfer the corresponding ETH to the contract to receive tokens.
5. Players can transfer tokens to the contract at any time before the launch to receive refunds.
6. After meeting the conditions, players only need to transfer 0.0005 ETH to the contract, and the contract will send all sold tokens and equivalent tokens of all ETH in the contract to the DEX exchange to increase liquidity. Tokens can be traded immediately.
7. Currently, only the contract for Uniswap-V2 version is provided to prevent increased liquidity before launch.
From the features of the code, the ERC50 protocol combines the characteristics of Uniswap-V2 and indeed achieves the ability for fair distribution. However, for users who try to generate income by forming LP, the protocol does not support the extraction of LP, and all locked LP tokens will be permanently locked in the contract and cannot be withdrawn. However, the submitter of the protocol also stated that a contract allowing the withdrawal of LP rewards (allowing the withdrawal of fee income generated during the transaction) is being developed to incentivize the project to continue operating.
In fact, the so-called ERC50 protocol’s features do not seem to be new. Functions such as automatic locking and distribution through smart contracts have long been widely used in many IDO platform projects. However, when these features are adopted in Meme coins after the recent money-making frenzy, they meet people’s pain points and imagination regarding the issuance of Meme coins. Especially when this protocol was launched almost simultaneously with Huang Licong’s “Big Brother Maji’s shearing” behavior, it formed a strong contrast.
From the perspective of wealth effect, the reasonable Meme coin DINO did not experience a crazy bull market effect. According to PANews calculations, the fundraising price of DINO was approximately $0.000116, and as of the afternoon of April 1st, the highest price reached $0.0023, with a maximum increase of only about 20 times. The stable price after the fall was around $0.0011, with a price increase of only about 10 times. This is a small achievement compared to the hundreds or thousands of times increase seen in hot coins like BOME and SLERF on the Solana chain. This inevitably makes people think, what is the key core of Meme, trust or hype?
Base continues to drain Solana and Ethereum
From another perspective, this difference may exist between Solana and Base Chain. Recently, Base Chain has started to make efforts in the Meme field and has indeed achieved unexpected results, but there is still a considerable gap compared to Solana.
On March 30th, the number of contracts established on the Base Chain reached 2,091, which is nearly 31 times higher compared to 66 on March 1st. On the same day, the daily active users on the Base Mainnet exceeded 450,000, reaching the second-highest historical point. On March 31st, the Base Chain broke its own 24-hour trading volume record on decentralized exchanges (DEX), increasing by about 25% compared to the previous day, surpassing $1 billion.
In comparison, the recent new token issuance on Solana is not as high as the peak of 9,943, but it has basically stabilized at 6,000 to 7,000 or more. On March 30th, Solana had 1.52 million daily active users, far surpassing the data of Base.
However, from another set of data, we may see some interesting things. In the past 7 days, the net outflow of funds from Solana and Ethereum to the Base Chain was about $4 million. Within a week, Base Chain had an outflow of $25 million and an inflow of $31 million, with a net inflow of about $6 million. From this set of data, most of the newly added trading volume on the Base Chain is drained from Ethereum and Solana.
With the emergence of new wealth myths on the Base Chain, such as DEGEN and mfercoin, the state of Base draining other chains may continue.
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