Sophon, which has raised $70 million in total funding, is sunsetting its Layer 2 blockchain and relocating to Base to build consumer applications. The move is a full strategic exit from operating independent chain infrastructure — not a gradual wind-down.
Exiting the Layer 2 Business
Sophon built and ran its own Layer 2 network before electing to shut it down. Layer 2 blockchains sit on top of a base chain to process transactions at lower cost and higher throughput; operating one independently requires sustained capital deployment, engineering resources, and ongoing liquidity development. Sophon's decision to sunset that network rather than continue investing in it reflects a judgment that the infrastructure path was not the right one for the company.
The Move to Base
Sophon is moving to Base rather than building or acquiring a replacement chain. Building on an existing Layer 2 eliminates chain-maintenance overhead and lets the team direct resources toward the application layer. Sophon has stated its intention to focus on consumer apps from this point forward — a narrower and more product-focused mandate than running a general-purpose Layer 2.
What $70 Million and a Shutdown Signal
Sophon's total disclosed funding stands at $70 million. The source does not specify a funding round breakdown, investors, or a timeline for the migration. What the number does clarify is that this is a deliberate strategic recalculation, not a shutdown driven by an empty treasury. Walking away from a functioning Layer 2 after raising that amount points to a conclusion that consumer app development on an established network offers better returns on the capital already deployed than continuing to compete in the crowded Layer 2 operator market.