1confirmation: DeFi and NFT will make a comeback, and application chains and L2 and L3 will play their true value

Cryptocurrency investment institution 1confirmation published its LP letter for the second quarter of 2024 on social media. Founder Nick Tomaino said in the letter that it expects DeFi and NFT to be bigger than ever, and SocialFi and other new use cases that are unimaginable today will emerge through application chains, L2 and L3. Non-custodial products will continue to grow, which enable users to trade, borrow, loan, mint and earn without trusting third parties. L2 such as application chains and Base and application chain-specific L3 will bring scalability and improved UX to cryptocurrencies, and ultimately make the pie bigger. L1 tribalism will disappear, and great developers will build where they can capture the most value and have the most control.