Sophon shuts down its own Layer 2 and migrates to Base, pivoting to consumer application development

Odaily reported that Sophon, which has raised a cumulative $70 million, announced it will shut down its own Layer 2 blockchain and migrate to Base, shifting its focus to consumer application development. Sophon stated that continuing to spend millions of dollars annually to maintain its own chain is no longer reasonable.

Sebastien, co-founder of Sophon, said the project's assessment is that real value does not lie in "who runs the underlying rails," but in the products built on top of them. Therefore, Sophon will stop maintaining infrastructure and instead concentrate resources on the application layer.

According to reports, Sophon previously spent approximately $3.4 million annually to maintain its blockchain, covering expenses for chain infrastructure, RaaS, data, analytics, and development tools. After shutting down its own chain, it is expected to reduce annual consumption by about $3 million, thereby extending its financial runway and allocating more capital to application development.