Jesse Pollak, the creator of Coinbase’s Ethereum Layer-2 network Base, announced a pivot toward global finance after admitting the network’s strategy to drive adoption through web3 social media failed. This strategic shift follows a 14% global workforce reduction by Coinbase in May 2026 that dissolved Base’s Southeast Asian expansion teams, including Base Philippines.
Strategic Pivot After Failed Social Bet
In a statement published on X, Pollak stated that the first quarter of 2026 served as a “punch in the face” for the network’s development plans. He explained that their bet on onchain-native social experiences (such as Farcaster, Zora, and creator coins) had disintegrated completely.
“I was wrong—whether it was timing wrong… or fully wrong, only time will tell, but regardless, I was definitively wrong,” Pollak wrote.
Pollak acknowledged that focusing heavily on web3 social platforms caused Base to fall behind competitors in key areas like prediction markets, perpetual contracts, and enterprise tokenization.
New Focus Areas and App Transition
To address these shortcomings, Pollak announced that Base is refocusing on establishing itself as a blockchain for global finance. For the remainder of 2026, the network will prioritize three specific development areas: trading, global payments via stablecoins, and artificial intelligence agents.
As part of this transition, Pollak has handed management of the Base application back to parent company Coinbase. The app will now be led by crypto personality “Cobie” to allow it to expand beyond the Base ecosystem.
Local Impact and Base Philippines Layoffs
The strategic shift comes two months after Coinbase executed global layoffs on May 5, 2026, to transition into what CEO Brian Armstrong described as an “AI-native” operation.
The workforce reduction eliminated key regional growth and developer support roles across the Asia-Pacific region, including personnel in Indonesia, Malaysia, Singapore, and Vietnam.
In the Philippines, Country Lead Eli Becislao confirmed he was among the affected employees. The official Base Philippines social media account on X has since been updated to indicate that it is “no longer active.”
Prior Growth Metrics in the Philippines
Prior to the restructuring, Base Philippines had reported significant growth during its first-anniversary event held at the Coins.ph office in Taguig City.
The local division reported establishing a builder pipeline of over 15,200 individuals across 50 Philippine cities and municipalities.
According to performance metrics, the group also established partnerships with over 40 local universities and distributed more than $150,000 in grants to the local cryptocurrency industry.
This article is published on BitPinas: Base Creator Admits Web3 Social Bet Failed, Pivots to Global Finance
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