Only a handful of Web3 brands have managed to reach as many mainstream consumers as NFT collection Pudgy Penguins.
That’s why Igloo Inc., the parent company of Pudgy Penguins, is confident it can replicate its playbook with its new blockchain Abstract, an Ethereum layer-2 chain that aims to be the leading blockchain for consumer crypto products and applications.
In this article, we’ll explore Abstract’s concept of “consumer crypto,” and how and what it is building to bring the next billion users on-chain.
What is Abstract?
Abstract is a ZK-rollup and layer-2 blockchain built on the Ethereum network, designed to provide low transaction fees and high scalability for consumer-focused applications and products.
Abstract is specifically designed to differentiate from the general purpose architecture that most chains utilize, and instead focuses first on aligning developer and consumer interests via specific applications and protocols—like games and social platforms—and then move down outwardly towards popular on-chain activities like decentralized finance, or DeFi, and banking.
Abstract is EVM compatible, meaning that it can run applications designed and built for the Ethereum blockchain. Therefore, most existing Ethereum-based smart contracts can be easily ported to Abstract, enabling developers of already built applications to offer their products to Abstract’s users with minimal modifications.
What is consumer crypto?
In an Abstract blog, Igloo Inc. and Pudgy Penguins leader Luca Netz explained his concept of “consumer crypto,” which refers to “blockchain-powered applications that serve billions of people in their everyday lives for personal use.”
In other words, applications that the average person is most likely to use on any given day—like games, or social platforms. Netz referenced OpenSea, an NFT and digital collectibles marketplace, and Pump.fun, a meme coin and social trading platform, as two examples of successful consumer crypto platforms.
Who is building Abstract?
Abstract is being built by Igloo Inc, the parent company of the Pudgy Penguins NFT project, and Cube Labs, utilizing zero-knowledge (ZK) technologies or cryptographic proofs that help to verify transactions in a more secure, private way.
In June 2024, the company announced the acquisition of the unlaunched, NFT-focused layer-2 network Frame and its development team to help build Abstract.
Subsequently, the firm announced an $11 million fundraise, led by Founder’s Fund with participation from other Web3 venture capital firms like 1kx and Fenbushi Capital.
What’s so special about Abstract?
Abstract’s goal of bringing everyday people on-chain has led to multiple new developments that differentiate it from other blockchains.
Abstract Wallet
Abstract has developed its own global wallet for use on-chain, utilizing new developments in account abstraction to allow users to create a wallet that needs no extension or secret phrase, and does not require gas fees.
The Abstract global wallet makes use of passkeys to enable users to sign in without an email address or complex password, making it easier for users without a strong technical background to get started.
An example from the Abstract team showcases a user signing in and minting an NFT in just four clicks, far fewer than would be required in most scenarios on-chain today.
