Abstract Chain Panorama Analysis: Creating a Public Chain Ecosystem for Mainstream Users

Summary

Abstract Chain will be launched in January 2025 and is a consumer-centric blockchain dedicated to promoting the popularization of cryptocurrency technology. It offers a smooth experience brought by native account abstraction and leverages the fan advantages of Pudgy Penguins(胖企鹅) IP to provide differentiated value. Abstract's growth strategy revolves around building a digital entertainment theme park, including a portal platform, live streaming and reward systems, as well as attracting application developers to join the ecosystem. As of the end of May 2025, the platform has attracted nearly 2 million registered users, with approximately 100,000 daily active users and about 700,000 daily on-chain transactions, demonstrating extremely high activity.

Introduction

Abstract Chain was established in March 2024, based on Ethereum's Layer 2 blockchain, employing zero-knowledge encryption technology to provide a seamless Web3 experience for mainstream consumers. It simplifies wallet setup and transaction signing processes through account abstraction, lowering the entry barrier. Although the blockchain ecosystem is highly competitive, there is still a distance to true large-scale mainstream adoption. Abstract chooses to directly embed encryption technology into consumer applications to promote a seamless user experience. Its mainnet will go live in January 2025, along with the launch of the portal platform Portal as an entry point for the gaming and application ecosystem, integrating features such as live streaming, rewards, and collectibles to create a sticky user experience.

Abstract's Business Model

Unlike traditional public chains that rely on the accumulation of on-chain assets, Abstract Chain transforms the portal platform Portal into a dynamic online center, designed around three main functions:

1. Basic Services: Provide tools such as wallet, fiat entry, and Token exchange.
2. User Interaction: Enhance user engagement through live streaming and the rewards center
3. Project Discovery: The Spotlight section guides users to explore new content

This system ensures that new users can quickly access Web3, while existing users are continuously attracted back by new content. Abstract is more like operating a thriving large shopping mall, integrating multiple shops and continuously holding events to maintain high traffic and activity.

User Guide

The initial user base of Abstract largely benefited from the association with the Pudgy Penguins IP. Its native account abstraction feature allows users to create accounts and enable wallets just like registering on a regular website, without the need to manage private keys or sign frequently. Once users create an account, they can use all basic crypto tools through the Portal.

Pudgy Penguins has over 3 million fans on social platforms, providing Abstract with a ready-made user pool. In the Portal, the image of Pudgy Penguins is everywhere, and PENGU holders can use tokens to tip during live broadcasts. This synergy between the IP and platform functions has facilitated the rapid growth of the Portal. More importantly, Abstract has attracted a large number of users from developed markets, laying the foundation for building a high-quality consumer ecosystem.

Portal Platform

The Portal of Abstract, known as the "Digital Paradise", is the core interface for users to discover applications, manage assets, and earn rewards. Early data shows that the Portal has performed impressively, with over 600,000 monthly active users, an average daily user engagement time of over 7 minutes, and a 30-day retention rate of 40%.

live streaming feature

Live streaming is one of the core features of Abstract. The platform has introduced a "watch and earn" model to encourage user interaction, allowing both streamers and viewers to receive rewards. As of the end of April 2025, Portal has accumulated over a thousand streamers, with a total live streaming watch time exceeding 500,000 hours. Some top streamers have received tips of up to 9 ETH in a single session, and the monthly income for the top 100 streamers ranges between $4,000 and $5,000.

Rewards and Reputation System

Abstract uses off-chain XP as the main incentive tool to encourage user participation. At the same time, the badge feature allows users to showcase their achievements, gradually forming a complete reputation system. Currently, this system is still in its early stages, and it is expected to expand to the entire Abstract ecosystem in the future.

Application Discovery

The "Discover" section of Portal showcases quality applications, allowing users to log in to these apps directly with Abstract ID, without the cumbersome registration process.

Application Ecosystem

Abstract is dedicated to attracting consumer applications from Web3 projects and mainstream institutions. The platform has launched the "On-site Developer Program" to provide support for developers. Games are an important entry point for attracting Web2 users, and among Abstract's top ten popular applications, eight are game products.

Currently, over 120 projects have been deployed on Abstract, covering various fields such as social networking, trading, and gaming. Abstract's strong user base allows new projects to quickly gain attention, as seen with "Duper" and "Witty" attracting 50,000 users within just a few days of their launch.

Abstract is also actively collaborating with consumer-facing institutions, such as music and sports brands, to migrate their Web3 products onto the blockchain. Recently, the Oracle Red Bull Racing team launched an on-chain fan engagement project called In the Moment on Abstract, aimed at young audiences.

Core Concept: Consumer-Level Cryptocurrency

The mission of Abstract is to create "consumer-grade crypto," which means building blockchain applications that serve the daily lives of billions of people. They believe that the best way to guide the first 50 million users into the crypto world is to focus on "non-essential consumption" scenarios.

This strategy also means that Abstract may intentionally overlook certain technology stacks that mainstream blockchains value, such as advanced DeFi modules, DePin, RWA, etc. Therefore, users should not expect Abstract to quickly boost TVL like DeFi-centric chains.

Initial Chain Performance

By the end of May 2025, Abstract has created nearly 2 million wallets, with a total of 1.4 million contracts deployed, and the total value on-chain secured at (TVS) has reached 53.4 million USD. At the beginning of March, the single-day transaction volume once reached 1.5 million, and then stabilized around 500,000. The cumulative number of on-chain transactions has reached 60 million.

The platform's activity level has also shown strong momentum within 30 days: the total revenue of the top five applications reached 1.85 million USD, and the total NFT trading volume surpassed 10.4 million USD. Abstract Chain has not yet released its native token.

On-chain Metric Comparison

Abstract's market strategy focuses on consumer adoption rather than traditional DeFi metrics like locked value or developer ecosystem share. From February to May 2025, Abstract's TVS grew by 150%, jumping from $20 million to $50 million. Active addresses peaked at 2 million before stabilizing at around 500,000.

Compared to other chains, in the first three months after the mainnet launch, Abstract's growth has surpassed ZKsync Era, with its number of active addresses and transaction volume approaching that of TON. Established rollups like Base and Arbitrum provide Abstract with successful EVM benchmarks to reference.

Conclusion

The Abstract team has pioneered a "consumer-centered" model for building a crypto ecosystem, aimed at advancing Web3 towards the mainstream. To achieve exponential growth in the future, Abstract needs to uncover true "killer applications," which are likely to first break through in the fields of gaming and popular culture.

At the same time, the consumption of the crypto sector is also rapidly heating up. TON and Kaia are backed by social media platforms, while Base and BNB have exchange support, and Sonenium is driven by institutions. These competitors are all joining the battle for mainstream adoption. Although "crypto applications in the mainstream market" are still a blue ocean, these diverse attempts are inspiring each other, sparking innovation, and accelerating the entire industry's march towards the mainstream.