The L1 premium is disappearing. The Fat Protocol to Fat App transition has been underway for a while but the market is now starting to price it in. Appetite for undifferentiated infrastructure is decreasing and investor expectations have shifted. Chains are under more pressure to demonstrate real recurring revenue. Stablecoins could be an avenue for this. Over $30B of USDC and USDT sits across alt L1s and L2s, generating north of $1B annually for Circle and Tether. The ecosystems actually driving that demand collectively earn around $800M in fees. Many chains have recognized this and are moving to internalize stablecoin economics rather than subsidize issuers.(Delphi Digital)