Abstract, Pudgy Penguins-backed L2, to shut down December 15
- —Abstract to shut down December 15 after 325 million transactions and millions of wallets
- —144 apps on the network generated over $40 million, but app revenue is not chain revenue
- —Igloo spent tens of millions of dollars supporting the network
- —Blast shut down days earlier after operating costs exceeded L2 revenue
Why it matters: A consolidation signal for the L2 market: distribution and brand deals cannot substitute for network economics, and only chains with durable fee capture will survive.
Source: Crypto Economy