The ApeCoin community is currently voting whether to leave the Ethereum ecosystem. Due to the voting power of the three big APE whales, the votes are now almost evenly split. The Ethereum fate of the popular metaverse coin project depends on this vote.
Whales to vote on future of metaverse coin project
Voting on AIP-41 proposal to keep ApeCoin on Ethereum is now after several major ApeCoin whales voted against the proposal in balance. As a result, the ApeCoin community was divided over immigration.
ApeCoin DAO’s proposal to stay on Ethereum proved to be much more controversial than it initially seemed.
The vote to keep ApeCoin on Ethereum is challenged by several whales who want the project to migrate to their own network. The vote was about AIP-41, an Apecoin DAO governance proposal created by DAO member ASEC on May 2. The proposal suggests that ApeCoin should stay in the Ethereum ecosystem rather than move to another network with higher transaction volume and lower fees.
Yuga Labs stated in a tweet that they believe ApeCoin needs to migrate to its own network to scale. The proposal told the community:
We, the ApeCoin DAO, believe that, at least for now, ApeCoin should remain in the Ethereum ecosystem and not be moved anywhere else to an L1 chain or side chain that is not secured by Ethereum.
Community favors Ethereum ecosystem for Apecoin
Shortly after it went into effect on June 3, 99.65% of the community While the issue seemed to have somehow been resolved at first, with the overwhelming majority backing the proposal, the vote is now much more balanced in three days. Currently, around 48.22% of APE investors voted against the idea of keeping ApeCoin in the Ethereum ecosystem, indicating a significant shift in sentiment on the matter, at least on the surface.
ApeCoin DAO votes on management proposals using APE, so each token held counts as one vote. This means that members with large amounts of APE have enormous influence on the governance process, creating the opportunity for a small number of owners to vote against the larger community majority.
Nansen data, however, shows that APE is fairly evenly distributed among investors, with no specific wallet holding a large amount of the circulating supply. Only four wallets hold more than 1% of the supply, two of which are owned by crypto exchange Binance. At the time of writing, the votes in support of the proposal are leading by only a small margin, and with three days until the vote closes, the project’s future on Ethereum seems far from certain.
