Ethereum News Today: Zora Surpasses 18000 Daily Users as Creator Tokens Hit $1M+ Valuations

Zora, the creator-token app backed by Coinbase, has sparked both enthusiasm and debate among users, artists, and crypto observers since its launch last September. According to app analytics, Zora has achieved more than 127,000 downloads on iOS and over 50,000 on Android. As of recent data, nearly 18,000 Zora accounts are posting daily, and 36% of these posts originate not from Zora directly, but from Coinbase’s rebranded Base app [1]. This integration led to a noticeable uptick in Zora usage, further fueled by tools such as an AI agent introduced by Base engineer Youssef El Allali, which allows users to trade small amounts of Zora creator tokens by simply mentioning a Zora handle [1].

When a user joins Zora, they are automatically assigned a creator token, which others can “trade” — typically as a form of financial support or for speculative gain. While some may view this model as a novel way to monetize creativity, others have questioned the logic of assigning monetary value to individuals or their content in such a volatile manner. As of Wednesday, approximately 20 Zora creators had market caps of $1 million or more each, and 45 creators had market caps exceeding $500,000 [1]. The top 10 Zora accounts by market cap included a variety of content creators, ranging from AI art and crypto influencers to meme accounts, indicating a broader, less art-focused market [1].

The Zora phenomenon has drawn comparisons to past crypto trends like Friendtech and StarsArena, but it holds a unique advantage: the backing of Coinbase. This support has helped Zora gain traction and legitimacy, even as debates continue about the broader implications of memetic speculation in the creative economy. For instance, Coinbase’s Base lead Jesse Pollak highlighted how his Zora balance has grown unexpectedly, while electronic music artist and Royal founder Justin Blau warned that the narrative around Zora is becoming “irresponsible.” Blau emphasized that speculation should not be disguised as a broader narrative, warning that this could damage long-term efforts to present crypto as a valuable tool for creators [1].

Visual artist ThankYouX, who has been involved with blockchain art since 2020, also expressed skepticism about Zora, calling it an overemphasis on speculation and a departure from what art truly represents. He criticized the Zora team for automatically launching accounts and promoting speculative elements [1]. Meanwhile, Ethereum co-founder Vitalik Buterin raised concerns about the potential for user segregation on Ethereum, noting that requiring email-based smart wallets could create two distinct user groups: “real Ethereum users” and “mainstream users.” This, he argued, could fragment the Ethereum user experience [1].

Despite the controversy, Zora continues to attract attention from both mainstream and crypto-native audiences. The app’s integration with Base and Coinbase, combined with its unique creator-token model, positions it as an intriguing case study in how digital creativity and financial speculation can intersect. Whether Zora will evolve into a sustainable platform for creators or remain a speculative playground remains to be seen, but its rapid growth and high-profile backers ensure it will remain a topic of conversation in the crypto community.

Source: [1] Users debate Zora, the creator-token app with Coinbase ... (https://blockworks.co/news/zora-app-accounts-debate)