Story, which recently raised $140 million, originally aimed to be a Layer 2 solution but switched to Layer 1 after seeing the success of projects like $SOL and $TRX. It’s a pattern where teams abandon Layer 2 for Layer 1, given the current market dynamics. The crypto space often revolves around selling tokens, and right now, Layer 1 projects seem more promising. With developers needing funds, creating and selling coins becomes a solution, especially in sectors likely to trigger FOMO.
If this cycle lacks technological breakthroughs, Layer 1 projects might outperform Layer 2s, as trading memecoins on Layer 1 chains requires purchasing the chain’s token. The funny part is imagining these Layer 1s competing fiercely only to potentially face challenges at launch, much like the infamous launch of Battlefield 2042.
