ApeCoin Community Initiates Proposal to Have APE Remain on Ethereum, with 99% of Votes For the Idea 19

ApeCoin Community Initiates Proposal to Have APE Remain on Ethereum, with 99% of Votes For the Idea

Summary:

  • The ApeCoin Community has initiated a proposal to keep APE within the Ethereum ecosystem.
  • 99.95% of the votes are so far for the proposal that ends on June 9th.
  • The proposal under AIP-41 points out that migrating to a different chain is a costly, risky, and complex endeavor that may result in catastrophic loss or abandonment by Yuga Labs.
  • Additionally, Ethereum and its L2 solutions provide possible solutions.

The ApeCoin community has initiated a new proposal to have the APE token remain within the Ethereum ecosystem. The proposal, under AIP-41, is still in the voting stage, with 99.95% of participants agreeing that ApeCoin should stay within Ethereum. The vote is ongoing and will be concluded on June 9th at 4 am, as highlighted in the screenshot below.

ApeCoin Community Initiates Proposal to Have APE Remain on Ethereum, with 99% of Votes For the Idea 20

Migrating ApeCoin to a Different Chain is a Costly, Risky, and Complex Endeavor

With respect to the justification for the proposal, the ApeCoin community highlights that APE should remain within the Ethereum ecosystem and not migrate elsewhere due to the potential negative consequences of such a move.

To begin with, the ‘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.’

The ApeCoin community points out that migration would mean moving away from the original assets tied to the Yuga Labs NFTs that inspired the creation of APE. Such a separation will result in the unintended scenario of ‘Yuga Labs no longer supporting or using ApeCoin in association with its NFTs like Bored Apes, Mutant Apes, or Otherside Deeds.’

Moving ApeCoin Away from Ethereum is Unnecessary. L2 Could Provide a Solution.

The proposal adds that the Ethereum ecosystem remains as ApeCoin’s best fit for a home due to the following reasons.

  • Ethereum and its L2 solutions have proven to be the preferred home for the largest collected ecosystem of NFT projects, builders, liquidity, and users. Moving away from such a foundation would be ‘detrimental’ to the health of ApeCoin.
  • Ethereum L2s show promise as solutions for high gas fees and speed. A future AIP could explore the potential of such a solution for APE.
  • Very few examples exist of projects migrating away from Ethereum and the ERC20 protocol and continuing to thrive on another chain.

The justification for the proposal goes on to reiterate that a subsequent AIP could suggest a move to an L2 scaling solution. It says:

ApeCoin MUST remain within Ethereum, or within an L2 scaling solution that is secured by the Ethereum blockchain. While this proposal makes no such recommendation for ApeCoin other than remaining on Ethereum, it does not preclude subsequent AIPs from suggesting a move to an L2 scaling solution secured by Ethereum.