Zora Interactions Drop 98%: Are Content Coins Losing Their Appeal?

After weeks of promotion before the airdrop and listing on centralized exchanges (CEX), the psychological indicators for Zora token have declined, suggesting this is only a short-term trend.

Zora marks the emergence of content coins, a controversial trend supported by Base founder Jesse Powell.

Zora token hype cools down after airdrop and listing, price drops 12%

According to CoinGecko data, the ZORA token price has dropped 11.5% in the past 24 hours. At the time of writing, it is trading at $0.01244.

This decline is not surprising as the token's sentiment has decreased after the Zora airdrop. The Zora airdrop aimed to enhance ecosystem participation by distributing 10% of the total 10 billion ZORA tokens to early users.

According to LunarCrash data, interactions and mentions have decreased since 04/23/2024, when the Zora airdrop occurred.

Specifically, interactions dropped 98%, from over 12.2 million to around 142,000 at the time of writing. Meanwhile, Zora mentions decreased by 58% since 04/23/2024. Moreover, the number of creators on the Zora app has declined by 57.6% since 04/23/2024, while sentiment slightly decreased by 6%.

Meanwhile, SimilarWeb data shows that traffic on the Zora.co platform has decreased from 500,000 to 300,000 in the past three months. Data from Dune Analytics also indicates that the number of users on Zora Network has dropped 90% from its peak in early 04/2024.

The "Coin It" metric shows a similar sentiment, with a significant decrease in the frequency of "coin this" or "coin it" phrases by Jesse Pollak on social media. After peaking at 15 mentions on 04/15/2024, this metric dropped to 1 after the Zora airdrop. This indicates a decline in interaction with content coins after the airdrop.

Jesse Pollak acknowledged in a thread that he received feedback about previously being too aggressive, leading to some message mistakes. He said he has adjusted by slowing down.

"...I received feedback about being too noisy, and frankly, I made some mistakes in my messaging, so I've taken that feedback and slowed down," Pollak said.

However, this decision does not mean he has stopped believing in content coins and on-chain social platforms like Zora. Pollak is committed to helping developers push Base's limits to realize the full potential of on-chain.

Pollak has promoted the concept of content coins on the Base platform. This involves tokenizing individual content pieces on-chain.

In a recent interview with BeInCrypto, Pollak distinguished between meme coins and content coins. He emphasized the potential of content coins in empowering creators without relying on speculative communities.

Pollak also presented Base's vision to expand the on-chain creator ecosystem. To do this, they will promote spread and creativity while reducing barriers for non-crypto users to participate in blockchain technology.

"We are working to bring a billion people to blockchain, and we know we can't do that alone. I deeply respect the Solana team – they've done a lot to bring people into the crypto world, and I'm very happy about that. We want to expand the market, not just compete in the current market. And we see content coins on Base as a way to expand that market," Pollack shared with BeInCrypto.

However, the charts suggest a potential lack of sustained interest, in line with criticisms questioning the long-term viability of such experiments on platforms like Zora.