• Apecoin soared 70% on Sunday as Yuga Labs launched Apechain mainnet and carried out staking rewards.
• Apechain, a layer 3 community constructed on Arbitrum, powers Yuga Lab's metaverse, Otherside.

Yuga Labs, creator of the Apecoin token, Bored Ape Yacht Membership, Mutant Ape Yacht Membership, and present proprietor of the Crypto Punks and Meebits NFT tasks, on Sunday launched Apechain, a layer 3 community on Arbitrum. Ta.

Apechain was first voted on by ApeDAO in January 2024 and was constructed as a extra scalable answer for the studio's Metaverse mission referred to as Otherside and Yuga Labs' rising ecosystem.

The studio initially launched an NFT assortment on Ethereum, however the scalability points that marred the Otherside Land Deed NFT mint proved insurmountable

The Rise of Layer 3 Networks

Apechain is among the largest NFT and Metaverse tasks within the cryptocurrency house, and one in every of many who finally selected to construct a layer 3 community as an answer to Ethereum's excessive charges and inelasticity .

In contrast to Layer 2 networks like Arbitrum, which function general-purpose scaling options, these Layer 3 networks are project-specific of their present iteration and are usually constructed for one ecosystem (Arbitrum for video games (such because the Xia community above). Particular or Degen on Base (particular to Farcaster content material creators)).

Within the case of Apechain, the community will help all tasks throughout the Yuga Labs ecosystem, from video games to NFT collections and even DeFi purposes. A buying and selling platform referred to as TopTrader has already been launched and is working buying and selling campaigns to draw customers.

Extra practicality of Apecoin

Nonetheless, probably the most bullish case for Apecoin is the added worth from exercise on Apechain. APE is the first coin for transactions, NFT minting, and participation in dapps constructed on high of Apechain.

APE closed at $1.50 on Sunday, up 71% after the community launch announcement and was up 15% on Monday on the time of writing.