Stargate DAO Community Initiates Vote to Make Velodrome the STG Hub on Optimism

On April 19th, it was reported that the Stargate DAO community has initiated the Make Velodrome the STG Hub on Optimism vote to increase Stargate’s mobility on Optimism. The vote was effective with 2.2 million people and the deadline was 02:59 on April 22nd. Currently, 1.7 million people have participated in the voting, with a approval rate of 97.94%. Foresight News previously reported that on February 27th, the AMM protocol Velodome on Optimism launched the Make Velodome the STG Hub on Optimism proposal on Commonwealth.

Stargate DAO Community Initiates Make Velodome the STG Hub on Optimism Voting

The Stargate DAO community has recently initiated a vote to make Velodrome the STG Hub on Optimism. This is an effort to increase Stargate’s mobility on Optimism, a popular Layer 2 solution for Ethereum. With the vote effective for 2.2 million people and a deadline set for 02:59 on April 22nd, 1.7 million people have already participated and the approval rate is currently at a high 97.94%. This article will explore the background of Stargate and Velodrome, as well as the reasons behind the Stargate DAO community’s decision to make Velodrome the STG Hub on Optimism.

Background

Stargate is an open platform that aims to simplify cross-chain communication and data management functions for blockchain ecosystems. It was created by Cosmos Network, a decentralized network of independent parallel blockchains that can scale and interoperate with each other. Stargate enables interoperability between different blockchain architectures and smart contract platforms, making it possible for users to exchange assets and data across different chains.
Optimism, on the other hand, is a scaling solution for Ethereum that leverages optimistic rollups to increase the network’s throughput and reduce transaction fees. Optimistic rollups are a Layer 2 technology that offloads computational work onto a separate chain while still ensuring the security of the main Ethereum network. This makes it possible for Ethereum to process more transactions per second without sacrificing security or decentralization.
Velodrome is an Automated Market Maker (AMM) protocol that runs on Optimism. It was launched on February 27th and aims to address some of the limitations of other AMMs by improving capital efficiency and reducing slippage. Velodrome’s unique design allows traders to make more efficient trades even in markets with low liquidity.

Why Velodrome?

The Stargate DAO community’s decision to make Velodrome the STG Hub on Optimism is motivated by several factors. Firstly, Stargate aims to enable cross-chain communication between different blockchain ecosystems. By making Velodrome the STG Hub on Optimism, Stargate users will be able to access liquidity and trading opportunities on Optimism without needing to leave the Stargate ecosystem.
Secondly, Velodrome’s design is well-suited to Stargate’s needs. As an AMM protocol that prioritizes capital efficiency and low slippage, Velodrome can enable more efficient trades and enable Stargate to handle a larger volume of transactions. This is essential for Stargate’s goal of enhancing interchain liquidity and improving the user experience.
Finally, the Stargate DAO community’s decision to make Velodrome the STG Hub on Optimism is driven by a desire to support innovative projects and protocols within the larger Ethereum ecosystem. Velodrome’s launch on Optimism is a significant milestone for Layer 2 scaling solutions, and by making it the STG Hub on Optimism, Stargate can help to further its adoption and success.

Conclusion

In conclusion, the Stargate DAO community’s decision to make Velodrome the STG Hub on Optimism is a significant development in the Ethereum ecosystem. By enabling cross-chain communication and improving interchain liquidity, Stargate and Velodrome can help to unlock new possibilities for DeFi and blockchain applications. With a high approval rate of 97.94%, it is clear that many in the Stargate community share this vision and are excited by the opportunity to support innovative projects like Velodrome.

FAQs

1. What is Stargate?
Stargate is an open platform that simplifies cross-chain communication and data management functions for blockchain ecosystems. It enables interoperability between different blockchain architectures and smart contract platforms, making it possible for users to exchange assets and data across different chains.
2. What is Optimism?
Optimism is a scaling solution for Ethereum that leverages optimistic rollups to increase the network’s throughput and reduce transaction fees. It offloads computational work onto a separate chain while still ensuring the security of the main Ethereum network.
3. What is Velodrome?
Velodrome is an AMM protocol that runs on Optimism. It was launched on February 27th and aims to improve capital efficiency and reduce slippage. Its unique design enables more efficient trades and allows traders to make trades in markets with low liquidity.