Salary Disclosure Sparks ApeCoin Controversy
ApeCoin, the Ethereum-based cryptocurrency connected to the Bored Ape Yacht Club ecosystem, has experienced a significant 28% drop in value over the past week. This turbulent period was not instigated by external market factors, but rather internal conflict within its governing body, the ApeCoin DAO.
The controversy arose following the publication of an organizational chart by Vulkan, the secretary of ApeCoin DAO. The chart disclosed salary details of the DAO’s leadership, revealing that monthly payments ranged from a substantial $7,000 for the secretary position to an enormous $75,000 for WebSlinger, an administrator tasked with handling legal and compliance matters for the Ape Foundation.
Community Uproar: A Storm Brews
This revelation left many within the ApeCoin community taken aback. The DAO was heavily criticized for these “insane” salaries, with particular contention surrounding the six-figure annual payments to Special Council members. This sparked intense debate among community members and ApeCoin holders. Critics such as Mando, an NFT tech co-founder, challenged the substantial value created by these large salaries. Mando pointed out that the primary responsibility for ApeCoin’s success lies with Yuga Labs, the creators behind the Bored Ape Yacht Club. His concerns, mirrored by many others, were about the Council’s contribution to the DAO’s success and the fairness of their salaries.
The Market Impact: Sailing the Choppy Waters
In light of the unfolding controversy, APE’s value plunged 28% within a week, falling to a low of $2.08. This decrease mirrors the prevailing community sentiment towards the salary dispute. Additionally, the trading volume of APE has experienced a drastic reduction, dropping over 40% to a measly $88 million.
This incident has led to calls for a reassessment of the Special Council’s salary structure, including suggestions for severe pay cuts and competency evaluations for leadership roles.
ThreadGuy’s Crusade: Savior for ApeCoin DAO?
In the midst of the chaos, a Twitter user known as ThreadGuy has emerged, claiming to be the only one capable of salvaging the embattled ApeCoin DAO. He has proposed a daring plan to rescue the struggling cryptocurrency community.
ThreadGuy argues that the DAO has “lost touch with culture”, criticizing it for failing to engage with its community. He maintains that without active participation, governance becomes meaningless, a sentiment echoed by many within the ApeCoin community.
He also accuses the current Council of failing to serve the community due to its limited reach, contrasting this with his own 7.32% global reach compared to the combined 4.46% global reach of the last five council members. Following this, he announced his position at the top of the ApeCoin DAO council election, potentially signaling a significant shake-up within the DAO.
Calmer Waters Ahead?
As ApeCoin grapples with this storm, its chosen course could notably influence its future, and, more broadly, the overall DAO and web3 space. This controversy highlights the necessity to assess the value contributed by individuals in their roles to the DAO and its community.
While it’s premature to forecast the long-term effect of this controversy on ApeCoin, it undeniably poses essential questions about the nature of governance and compensation within the burgeoning world of decentralized organizations. The resolution to this crisis might set a precedent for other DAOs, leading the way to calmer, more navigable waters.
