Base has emerged as Ethereum’s leading layer two (L2) solution across various metrics, and projects on Base will now have access to onchain seed capital through Echo.
Echo Welcomes Coinbase Ventures’ New Base Ecosystem Group to Foster Crypto Innovation
The Base Ecosystem Group, recently introduced by Coinbase Ventures, is set to provide early-stage funding opportunities for projects leveraging Ethereum’s prominent L2 network, Base. This initiative will enable startups to access initial capital via the Echo platform.
A prominent figure in the crypto space, Jordan Fish, also known as “Cobie,” launched Echo in March 2024 with the aim of democratizing onchain investing for nascent projects. Traditional token launches have often favored venture capitalists, granting them exclusive privileges that result in substantial profits at the expense of retail investors.
(Jordan “Cobie” Fish / monzo.com)
Referencing the 2017 ICO frenzy, Meltem Demirors, a general partner at Crucible Capital, coined the term “The Sh*tcoin Waterfall” to describe the inequities in token distribution. She highlighted how privileged insiders capitalize on discounted tokens, leaving retail investors at a disadvantage.
(Crypto VC Meltem Demirors coined the term “Shitcoin Waterfall” after witnessing the 2017 ICO craze / Meltem Demirors on Medium)
With the launch of Echo and the establishment of the Base Ecosystem Group by Coinbase Ventures, a more transparent onchain fundraising platform is introduced to empower community members and users to invest in innovative crypto ventures.
Expressing their commitment to democratizing investment opportunities, Coinbase Ventures stated, “Echo shares our vision of expanding access to investment opportunities, ensuring that groundbreaking startups receive support from a diverse range of backers.”
While investment on Echo is currently limited to accredited and qualified investors, the platform offers a more inclusive approach compared to the exclusive circle of crypto VCs.