Jamie Redman
The Apecoin community is in the midst of discussing whether or not the crypto asset should remain within the Ethereum ecosystem. While AIP-41 voting started today, the proposal’s voting process will end on June 8, 2022, at 9 p.m. (ET). Meanwhile, the project’s native token APE has lost 57% against the U.S. dollar in the last 30 days.
Apecoin Community Begins Voting on Whether or Not Asset Should Remain Operating on Ethereum
This week the Apecoin community is voting on whether or not the native token apecoin (APE) should remain on the Ethereum blockchain. The voting process was announced by the official Apecoin Twitter account in order to update the community. “The proposal up for a vote is AIP-41 which proposes ApeCoin to stay within the Ethereum ecosystem,” the tweet explains. “Voting ends next Wednesday, June 8th at 9PM ET, so be sure to vote before then.” The tweet also links the Apecoin Improvement Proposal (AIP) 41, which summarizes the debate.
The summary cites the Bored Ape Yacht Club (BAYC) creators Yuga Labs when the company stated in a tweet that APE needed to migrate to another blockchain. “It seems abundantly clear that apecoin will need to migrate to its own chain in order to properly scale,” the company said on April 30. According to AIP-41, the Apecoin DAO believes “ApeCoin should remain within the Ethereum ecosystem, and not migrate elsewhere to an L1 chain or sidechain not secured by Ethereum.” The Apecoin DAO further states:
Migrating to a different chain is a costly, risky, and complex endeavor with many moving parts that may, if not thoughtfully considered, result in catastrophic loss, or at worst, abandonment by Yuga Labs and other entities that would otherwise meaningfully to Apecoin.
For now, much of the discussion goes both ways, as some people agree with the Apecoin DAO’s opinions and others do not. Some individuals mentioned scaling solutions like Arbitrum One, Zksync, Optimism, and Immutable X. Others can envision APE migrating to another chain like Avalanche. One person commented and said: “Moving away from ethereum is really the worst decision they can make.” In recent times, Ethereum fees have dropped a great deal, to under $3 per transfer, but they are starting to rise again this week as the average gas fee is 0.0056 ETH or $9.87 per transfer.
The cost to move an ERC20 asset like apecoin (APE) can be more costly than a simple ether transfer. Apecoin’s value has dropped a great deal as the crypto asset is down 77.3% from its April 28 all-time high tapping $26.70 per APE. During the past month, APE is down 57% and seven-day statistics indicate apecoin has dropped 4.9% in value. APE has an overall market capitalization of around $1.77 billion today, and apecoin has seen $252 million in 24-hour global trade volume.
What do you think about the apecoin (APE) migration discussion? Let us know what you think about this subject in the comments section below.
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