Degen Social MediaPrice

(DEGEN)

DEGEN is an ERC-20 token launched on the Base network. It originated as a community-driven initiative within the /degen channel on the decentralized social network Farcaster, specifically through the Warpcast app. While it began as a reward for community participants, it has evolved into a functional social currency. The project was founded by a developer known as Jacek Trociński. Although it is deeply integrated into the Farcaster ecosystem, it is a community-led project and was not officially created by the Farcaster team.

The tipping system allows users to reward content creators on the Farcaster network. Users receive a daily allowance of DEGEN points based on their engagement levels and follower count. To tip another user, a participant simply comments a specific number followed by the $DEGEN tag on a post. It is important to note that these points do not come from the user's actual token balance; instead, the accumulated points are periodically converted into actual DEGEN tokens and distributed to the recipients.

To maintain ecosystem quality and prevent spam, there are specific eligibility requirements that may change over time. Generally, users must connect a verified wallet to their social profile. Historically, users have been required to hold a minimum amount of DEGEN tokens (such as 10,000 DEGEN) to qualify for a daily tipping allowance. Additionally, users often need to achieve a specific user rank or obtain a Power Badge on the platform to demonstrate active and authentic participation.

Degen Chain is a Layer-3 (L3) blockchain built on top of the Base network using Arbitrum Orbit technology. It was developed to provide ultra-low transaction fees for social applications and gaming. A unique technical aspect of the Degen Chain is that it uses the DEGEN token as its native gas token instead of ETH. This integration ensures constant utility for the token, as it is required to pay for all transaction fees and network operations within the Layer-3 ecosystem.

The project utilizes a community-first distribution model. Approximately 70% of the total supply is dedicated to community airdrops and incentives, which are distributed across different seasons to reward active users. The remaining 30% is split equally, with 15% allocated to the team and ecosystem development and 15% dedicated to liquidity pools. To support long-term sustainability, the project also features a 1% annual inflation rate which is scheduled to commence in 2028.

DEGEN is available for trading on major digital asset exchanges such as LBank, as well as various decentralized exchanges operating on the Base network. Beyond being a tradable asset, DEGEN serves as the primary currency for the social tipping ecosystem and the native gas token for the Degen Layer-3 blockchain. Its utility is expected to expand further with the development of the Degen App, a social super-app focused on creator tools and social rewards.