TL;DR
- ApeCoin launches its first testnet for ApeChain, a layer-2 solution, with support from Horizen Labs and the Arbitrum Foundation.
- Greg Solano from Yuga Labs assures that the testnet has limited functionalities but promises decentralized applications in the future, which boosted the price of APE by more than 3.4%.
- The goal is to improve the utility of APE and monetize the network, projecting annual revenues of up to $7 million, with APE as the gas and governance token.
ApeCoin has launched the first testnet for its layer-2 solution, ApeChain. This is an important milestone for its DAO, which has been seeking ways to increase the utility of the APE token. The new test network, named Curtis, is a collaborative effort that reflects the dedication and hard work of the community and its strategic partners, such as Horizen Labs and the Arbitrum Foundation.
Greg Solano, co-founder of Yuga Labs, the firm behind the popular Bored Ape Yacht Club (BAYC), shared that although the testnet currently has limited functionalities, it will feature a series of decentralized applications once the mainnet is active. These statements have generated great expectations among APE holders, after which the token rose more than 3.4%, reaching $0.7875 following the announcement, according to CoinGecko data.
It's time for change.
Testnet Curtis.
7/16/2024 pic.twitter.com/xOdZNtnCaW
— ApeCoin (@apecoin) July 16, 2024
The development of ApeChain has been a highly planned process. In February, ApeCoin DAO voted to build the network on Arbitrum, with technical support from Horizen Labs. The new ecosystem aims to improve the utility of the APE token and open new monetization channels. Horizen Labs has projected that the DAO could generate up to $7 million annually if the network processes one million transactions daily, each with a fee of $0.02.
ApeChain Puts Control in the Hands of APE Users
A key feature of ApeChain is that APE tokens will serve a dual role as gas and governance tokens. This gives the community considerable control over the future direction of the network, facilitated by Arbitrum’s on-chain governance approach. Additionally, the Arbitrum Foundation has committed to funding the Security Council and Block Explorer expenses for the next three years, ensuring a solid foundation for the network’s growth and security.
Although Curtis currently offers limited functionalities, it represents the beginning of a new era. With its clear focus on creating useful decentralized applications, the platform could become an essential component of the crypto industry.
