Founder of Farcaster, the SocialFi platform, announces imminent launch of Frames V2, Bitcoin reserves poised to ignite bull market

Silicon Valley venture capitalist Dan Romero recently shared his journey from being an early team member at Coinbase to founding the decentralized social media platform Farcaster. In the interview, he discussed the startup ecosystem in Silicon Valley, the future of cryptocurrency, personal mindset, and how to succeed in the Web3 industry, offering some valuable insights.

Five years at Coinbase laid the foundation
Dan Romero joined the renowned exchange Coinbase in 2014 as its 20th employee. He experienced the company’s growth from a valuation of $100,000 to billions of dollars. Romero revealed, “The early days were really tough. We worked hard every day, but the outside world constantly associated Bitcoin with dark web transactions and exchange collapses.” He also jokingly mentioned that most engineers attracted to Web3 were “misfits.”
Romero himself was initially a skeptic, believing Bitcoin was a Ponzi scheme. However, after reading the Bitcoin whitepaper, he was convinced and transitioned into the Web3 space.

The most disastrous experience: Ethereum flash crash
Romero recounted a major crisis Coinbase faced in 2017—the Ethereum “flash crash” incident. Due to a system design flaw, the price of Ether (ETH) plummeted from $319 to $0.10. This triggered user complaints and government investigations.
There was also the Bitcoin Cash (BCH) fork incident. Coinbase was accused of insider trading, putting immense pressure on the entire team. Romero described it as the lowest point during his time at Coinbase but added, “You have to keep getting up every time you fall down, and eventually, you’ll succeed.”

The beginning of Farcaster: The intention to create a crypto Twitter
In 2020, Romero left Coinbase and spent a year and a half traveling, reading, and rethinking his future direction. In 2021, he founded the decentralized social protocol Farcaster, aiming to build a blockchain-powered social network. The goal was to become a core platform for the cryptocurrency community, providing a more friendly space for communication and innovation.
He expressed his motivation, which stemmed from disappointment with traditional media: “Public discourse shouldn’t be controlled by a few companies.” He believed the importance of traditional media was diminishing, and the future would be dominated by live streaming and decentralized content platforms. He suggested, “Live streaming models like Twitch or Twitter will replace traditional media, but the key lies in how to break through in content distribution.”

Initial promotion setbacks, later focused on serving Web3 enthusiasts to turn the tide
During Farcaster’s early days, Romero chose a grassroots approach to promotion. He personally called 400 friends and industry professionals, explaining the product concept and guiding them through registration. However, he admitted this process was filled with frustration, saying, “Many friends registered but never used it, as if recommending a terrible product to friends. User retention was really challenging.”
After reflection, Romero realized Farcaster needed to focus on serving a small group of “developers and creators who truly love blockchain.” These individuals would not only become loyal users but also attract more like-minded people to the platform.

Farcaster opens up to developer participation, Frames V2 launching soon
Another key strategy was involving external developers in Farcaster’s development. Recent successful examples include the social meme platform “Clanker World” and the social application “Anoncast” on the Base chain, both built on Farcaster. Romero stated, “As we focus on optimizing core functions, developers help us with other innovations. This is a breakthrough moment.”
Regarding Farcaster’s crucial innovation, Romero expressed great anticipation for the upcoming launch of Frames V2. He mentioned that Frames V2 would allow users to directly interact with the blockchain on the social platform, such as purchasing NFTs or participating in DeFi applications, all with just a click.

The beginning of a new bull market, Bitcoin reserves triggering global demand
When asked about his view on the current cryptocurrency market, Romero stated, “We are at the beginning of a new bull market, especially with the approval of Bitcoin spot ETFs and more institutional funds flowing in. The market potential is astonishing.”
He particularly highlighted the possibility of Bitcoin becoming a national “strategic reserve asset,” which would not only impact confidence in the crypto market but also compel other countries to reevaluate their reserve policies, thus triggering global demand for Bitcoin. Romero remarked that this was unprecedented and could be the main driving force behind the next wave of growth.

Leading infrastructure and a supportive technical environment driving industry upgrades
At the same time, Romero believed that another major highlight of 2024 would be the significant progress in the infrastructure of the cryptocurrency industry. This sets it apart from previous bull markets.
Romero recalled the high transaction fees and slow confirmation times on Ethereum in 2017, which prevented many applications from truly taking off. However, the situation now is completely different. Solutions like Base and Solana, which are Layer 2 scaling solutions, have significantly reduced transaction costs and improved processing efficiency. He stated, “In the past, people had ideas but couldn’t execute them. But now, the technical environment can turn almost any idea into a reality.”
Lastly, drawing from his own experience, Romero encouraged young people, saying, “Make progress every day and persevere for ten years, and you’ll be amazed at your growth.” He also reminded all entrepreneurs entering the crypto industry to maintain a stable mindset, saying, “Don’t get too excited during the peaks and don’t give up during the lows. Consistency is the key to success.”