Vega Protocol Community Votes to Retire L1 Blockchain and VEGA Token
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The Vega Protocol community has voted to retire its Layer 1 (L1) blockchain and the associated VEGA token.
The decision marks the end of the Vega chain’s operations, which were focused on facilitating derivatives trading on a decentralized platform.
The unanimous governance vote triggered the automatic shutdown of trading activities on the Vega blockchain, the project said in a recent blog post.
The protocol launched its first on-chain markets after the release of its alpha mainnet in 2023.
However, the lack of substantial traction in its current form as an application-specific blockchain (app chain) led to the community’s decision to discontinue the project.
The Vega team explained that the network did not achieve the growth and interest required to sustain it as a viable platform.
Consequently, the project will now focus on maintaining the core software rather than continuing with the blockchain and token in their present state.
“We are proud of the software we have built, but unfortunately, the chain and token did not gain the momentum needed to ensure sustainability,” said Barney Mannerings, co-founder of Vega Protocol.
He further emphasized that the resources would now be allocated to supporting other initiatives based on Vega’s core technology.
One such initiative is Nebula, a decentralized exchange that will utilize the Vega software.
Nebula operates independently from the Vega Protocol and will have its own token, NEB.
The on-chain vote to retire the Vega chain has officially passed.
As a result, the Vega chain no longer
