Coinbase is ‘destroying’ retail crypto: Framework Ventures cofounder

Waka Flocka Flame-linked BaseDrop is raising some eyebrows

article-image

Framework Ventures co-founder Vance Spencer | DAS 2025 New York by Mike Lawrence for Blockworks modified by Blockworks

share

This is a segment from The Drop newsletter. To read full editions, subscribe.


At least one VC thinks Coinbase’s “Just Coin It” strategy is a bad, bad idea.

This week, Coinbase exec Jesse Pollak called BaseDrop, which is powered by rapper Waka Flocka Flame’s memecoin, “the new creator economy.” He described BaseDrop as an “onchain record label, where value for songs accrues back to $FLOCKA.”

Framework Ventures cofounder Vance Spencer hit back with a takedown, arguing that Coinbase’s “content coin” push is “destroying broad swaths of the [crypto] industry.”

The idea that everything should have a token harms retail because said retail buyers are losing money on lowcaps and memes and will be alienated from crypto as a result, he argued. 

Spencer also took aim at Coinbase’s decisions around its wallet, likening it to Farcaster and saying it’s “not what anyone wants or needs.” 

Loading Tweet..

Coinbase recently overhauled its wallet to include a slew of social media-like features in a move that turns it into more of a consumer superapp than a crypto wallet. The overhauled version remains in beta, and hasn’t been fully released yet.

My question is: Are we sure “retail” is actually who is buying these? More likely yes, in the case of celebrity-backed coins. But I suspect there’s also a lot of crypto-native degens and builders participating in the “Just Coin It” trend.

Coinbase’s head of Base and Coinbase Wallet responded, unsurprisingly, by rejecting Spencer’s argument and calling what’s happening innovative for crypto.

“Tokenizing content is a powerful way of letting the market value content and then drive value back to creators and consumers,” Pollak said

“I think it’s cool that a large, well-known artist is literally pushing the boundaries of what can be done onchain with value accrual,” he added.

While some might be more open to taking Ls on content coins than others, Waka Flocka specifically has been accused of promoting questionable tokens, including his Solana memecoin, in the past:

When the rapper was asked last year if his FLOCKA coin on Solana had a fair launch in light of ZachXBT’s findings that 40% of its supply was sniped beforehand, Flame claimed there had been an “Operation Take Down Flocka” against him. 

Pollak said he’s also spoken with the rapper and believes Flame, whose real name is Juaquin James Malphurs, was “convinced” to launch a coin by a team that then “rugged him.” 

“Do I wish he had been able to see through the scammers in the first place and not made the mistake? Absolutely,” Pollak said.

“But do I think we should blackball an earnest, talented creator and musician who someone else scammed […] and who, rather than giving up, doubled down on figuring out how to use onchain to do good in our space? Absolutely not.”


Get the news in your inbox. Explore Blockworks newsletters:

Tags

Decoding crypto and the markets. Daily, with Byron Gilliam.

Upcoming Events

Old Billingsgate

Mon - Wed, October 13 - 15, 2025

Blockworks’ Digital Asset Summit (DAS) will feature conversations between the builders, allocators, and legislators who will shape the trajectory of the digital asset ecosystem in the US and abroad.

recent research

Unlocked by Template (11).png

Research

Union’s technical design brings measured improvements to crosschain interoperability. By combining a consensus-verified hub with novel constructs like state lenses and ZK proofs for client updates, Union achieves an interoperability protocol that is highly performant, trust-minimized, and scalable.

article-image

It’s unclear whether the celeb ever knew about the account made using his name

article-image

Sharps Technology raised $400 million in PIPE offering

article-image

Offchain Labs’ Tandem will work exclusively with Succinct on a zkVM

article-image

Fundstrat’s chief investment officer may be the apex bull

article-image

MetaMask now lets users create and restore wallets via social accounts

article-image

Filing seeks to expand regulated crypto exposure, with Coinbase Custody as fund custodian