The launch of the Degen Chain Network has attracted some high-profile investors, along with a wave of criticisms amidst its rapid growth. Utilizing Arbitrum Orbit, Degen Chain developed the infrastructure provider Syndicate on March 28, offering a specialized ultra-low-cost network using the Degen Token ($DEGEN), which has gained popularity among Forecaster Web3 Social media service users as a de facto community token.

Farcaster operates on Base, an Ethereum Layer 2 network, positioning Degen Chain as a Layer 2 network or L3. Traditional Degen enthusiasts have seen significant returns on their investments, with one trader reportedly turning less than $7,000 into over $2 million in profits, thanks to Farcaster setting new user activity records.

While some users aim to establish Degen Chain as the first L3 chain for widespread adoption and capitalize on meme coins, critics like Polygon Labs CEO Marc Boiron express concern over the focus on L3 networks. Boiron argues that the security risks associated with Ethereum's base layer undermine the value proposition of L3 networks, contrary to the scalability solutions Polygon Labs offers for Ethereum.