SAGA Rallies 75% as Altcoin Market Recovers

Alternative Layer 1 (L1) tokens are soaring, and Saga, which touts itself as “the L1 to launch L1s,” is leading the charge.

Saga Network’s token is up 17% to $2.38 in the last 24 hours and 75% over the last week, outpacing its competition. Other notable gainers in the L1 category include Fantom’s FTM, which is up 33% this week, and SUI, which is up 31% in the same period.

The protocol leverages the Cosmos SDK and launched its mainnet and native token in April, opening at a $6.7 billion fully diluted valuation (FDV) before plummeting alongside the rest of the altcoin market throughout the summer.

Saga has amassed $15.5 million in funding since its preseed rounds began in January 2021, with its most recent raise in November 2023 of $5 million led by Placeholder VC.

Through Saga, developers can “automatically spin up parallelized, VM-agnostic, and interoperable dedicated chains, or “Chainlets,” that provide applications with infinite horizontal scalability.” There are currently over 90 active chainlets that have been launched via the Saga operating system, with the most recent, dkloud (DKT), going live on Sept. 18.

Over time, the network aims to become a fully-fledged ecosystem that supports DeFi, but its initial focus will be on gaming and entertainment chains. Not only do these applications have the most urgent need for dedicated runtime environments and close to 100% SLA, but they are also the fastest growing sector in web3 with the most “immediate potential for mass appeal,” according to the litepaper.