Crypto Quill

The ApeCoin community has voted to build its own blockchain network, ApeChain, on top of Arbitrum, a leading layer 2 scaling solution for Ethereum. The decision marks a major milestone for the APE ecosystem, which aims to support various applications from gaming and NFTs to DeFi.

Why ApeChain Chose Arbitrum

ApeChain is a blockchain network designed to enhance the utility and governance of APE tokens, the native currency of the ApeCoin ecosystem. ApeChain will allow developers and users to create and interact with various applications that leverage the power and popularity of APE tokens.

To achieve this vision, ApeChain needed a robust and scalable technology stack that could support high transaction throughput, low fees, and censorship resistance. After a close community vote, ApeChain decided to build on Arbitrum, a layer 2 scaling solution that offers these features and more.

Arbitrum is compatible with the Ethereum Virtual Machine (EVM), which means that any smart contract or application that runs on Ethereum can also run on Arbitrum. Arbitrum also uses a unique approach called optimistic rollups, which allows transactions to be executed off-chain and only verified on-chain when needed. This reduces the congestion and cost of the Ethereum network, while maintaining its security and decentralization.

By building on Arbitrum, ApeChain will be able to offer a fast, cheap, and secure network for APE applications and users. APE tokens will also serve a dual role on ApeChain, acting as both the gas token and the governance token. This means that APE holders will be able to pay for transactions and participate in the decision-making process of the network.

What ApeChain Plans to Do Next

ApeChain is not just a technical upgrade; it is a strategic expansion of the ApeCoin ecosystem, which aims to become a hub for gaming, NFTs, and DeFi. ApeChain has already partnered with several projects in these domains, such as Magic Eden, a Solana-based NFT marketplace, and Darewise Entertainment, a gaming studio that is developing an open-world MMO game.

ApeChain will also work with Horizen Labs, a blockchain development company, and Off Chain Labs, the team behind Arbitrum, to deliver an updated roadmap for the network. The roadmap will include upcoming features and functionalities, such as BoLD, a liquidity mining program, and Stylus, a smart contract language.

According to Horizen Labs, ApeChain has the potential to generate annual revenues of $7 million, assuming the network handles 1 million transactions per day. This economic viability, coupled with the recent 12% increase in APE’s market price, paints a bullish picture for the network’s future.

How ApeChain Will Benefit the APE Ecosystem

The launch of ApeChain on Arbitrum is a significant step for the APE ecosystem, which has grown rapidly since its inception in 2020. APE tokens have gained popularity among crypto enthusiasts, especially those who enjoy meme coins and NFTs. APE tokens have also been used to create and distribute various NFT collections, such as Bored Ape Yacht Club, Mutant Ape Yacht Club, and Bored Ape Kennel Club.

By building its own blockchain network, ApeChain will be able to offer more value and utility to APE holders and users. ApeChain will enable the creation and adoption of diverse and innovative applications that leverage the APE brand and community. ApeChain will also empower APE holders with greater control and ownership of the network, allowing them to shape its direction and evolution.

The APE ecosystem is a driving force within the crypto space, and the development of ApeChain on Arbitrum will be instrumental in its next chapter. ApeChain will leverage Arbitrum’s cutting-edge technology and customizability to deliver a rich and expansive digital ecosystem for APE lovers.