Aavegotchi Abandons Polygon in Favor of Coinbase’s Base Amid Market Headwinds

Aavegotchi Abandons Polygon

The Web3 gaming-focused NFT protocol Aavegotchi has elected to leave the Polygon blockchain and completely switch to Base, an Ethereum layer-2 scaling network created by Coinbase, in a dramatic move that reflects the general volatility of the 2025 cryptocurrency market.

The action comes after a community vote that was held on April 8 and saw a resounding 93.5% of Aavegotchi members support the proposition, “Make Aavegotchi Based Again,” indicating the protocol’s intention to re-deploy on Base and deprecate its smart contracts on Polygon.

The proposal, first floated in February by Aavegotchi founder Dan, cited a stagnation in Polygon’s total value locked (TVL) and a lack of innovation tailored for gaming protocols. “Polygon has not shipped any significant updates or features to PoS to enable better ecosystem coherence or discovery for gaming,” Dan wrote on X (formerly Twitter).

By contrast, Base – launched in 2023 by Coinbase, the largest U.S.-based crypto exchange – has quickly positioned itself as a rising hub for retail crypto users and Web3 gaming projects. “Given our close relationship with the Base team, as well as recent developments in the Base ecosystem, we believe the most +EV move for Aavegotchi is to sunset Polygon and go all-in on Base,” Dan explained.

A Strategic Pivot in a Downturn

Aavegotchi’s departure coincides with a wider decline in the cryptocurrency market, which has been made worse by new geopolitical tensions, including as President Donald Trump’s proposed tariffs on American imports, and uncertainty in the world economy. Pixelcraft Studios, the developer of Aavegotchi, has responded by implementing considerable cost-cutting measures. Dan affirmed, “We’ve recently made significant team cuts to extend runway and reduce our burn.

The gaming and NFT sectors have been among the hardest hit in 2025, forcing many Web3 projects to reassess their technical strategies and operating expenses.

Polygon’s Waning Appeal

Polygon was formerly a popular Ethereum sidechain, but it has had trouble staying popular due to fierce competition from layer-2 solutions like Base and Arbitrum. As of April 8, Polygon’s TVL was only $725 million, down from a peak of about $10 billion in 2021, according to DeFiLlama. Base and Arbitrum, on the other hand, have both soared ahead, each with TVLs over $2 billion.

TVL, a core metric in decentralized finance, reflects the total capital held in a protocol, serving as a proxy for user trust, engagement, and available liquidity.

Dan emphasized that both Base and Arbitrum have proven themselves to be “performant” and “lindy” – a nod to their perceived long-term viability. Still, it was Base’s stronger retail onboarding that ultimately tipped the scales.

A New Chapter for Aavegotchi

Launched through a collaboration between Pixelcraft Studios and decentralized lending platform Aave, Aavegotchi gained popularity for its quirky digital collectibles – NFTs that can be outfitted with wearable items like hats, glasses, and other accessories. These avatars can be bought, sold, and traded across various NFT marketplaces.

Now, as the protocol transitions to Base, Aavegotchi aims to position itself for renewed growth, scalability, and community engagement in a rapidly evolving blockchain gaming landscape.

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