Share this article
More than 7.1 million APE tokens held by over 800 DAO members voted on AIP-41.
The ApeCoin community chooses Ethereum
ApeCoin will remain on Ethereum for the time being.
The AIP-41 instant voting closed early Thursday morning, with most of the voting power choosing to keep ApeCoin within the Ethereum ecosystem. 53.62% of the votes, or 3.8 million APE tokens, voted against migrating ApeCoin to a Layer 1 or sidechain not protected by Ethereum.
Although the vote ended in favor of an Ethereum-based ApeCoin, it fluctuated wildly during the six-day voting period. Initially, over 90% of the votes supported keeping APE on Ethereum. However, after three days, several large token holders participated in the vote, shifting it in favor of moving ApeCoin to a rival Tier 1 blockchain.
While the ApeCoin community has since made it clear that they want APE to remain within the Ethereum ecosystem, the vote is not entirely final. DAO members can submit new proposals regarding the future of the token within a three month grace period.
The vote to keep ApeCoin on Ethereum was triggered by a series of tweets from Bored Ape Yacht Club creator Yuga Labs. Last month, Yuga suggested APE migration to a Tier 1 blockchain with higher transaction throughput and cheaper fees after its Otherside NFT mint. Otherside’s launch used a first-come, first-served model to deploy land-based NFTs, which, combined with its non-optimized smart contract code, has resulted in gas wars that cost miners millions in ETH. Yuga said migrating APE to another blockchain would allow the project to “scale properly”, deferring the blame for the failed mint sale to poor network performance.
While moving APE to a rival Level 1 appears to be out of the question, migrating it to a Level 2 Ethereum chain is still a possibility. The Immutable X blockchain onboarding platform has suggested ApeCoin switches to its StarkEx-based Layer 2 to benefit from higher transaction throughput and lower fees. While Immutable’s proposal received positive feedback on the ApeCoin DAO forum, it will need more community support before it can go to an official vote.
Disclosure: At the time of writing this piece, the author owned ETH and several other cryptocurrencies.