Svmuu News: Sophon, which has raised a total of $70 million in funding, announced that it will shut down its proprietary Layer 2 blockchain and migrate to Base, shifting its future focus to the development of consumer-grade applications. Sophon stated that continuing to invest millions of dollars annually to maintain its own blockchain is no longer justifiable.
Sophon co-founder Sebastien said the project’s assessment is that true value lies not in “who operates the underlying infrastructure,” but in the products built on top of it. Therefore, Sophon will no longer maintain the infrastructure and will instead concentrate its resources on the application layer.
Reportedly, Sophon previously spent approximately $3.4 million annually on blockchain maintenance, covering expenses such as chain infrastructure, RaaS, data, analytics, and development tools. After shutting down its proprietary chain, the company expects to reduce annual expenses by about $3 million, thereby extending its funding runway and allocating more capital to application development.