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GnosisDAO voted on Aug 19 to turn Gnosis Chain from an independent L1 into a rollup that settles on Ethereum. The result was 123,158 GNO for, 115 against ([vote and proposal](https://snapshot.org/#/s:gnosis.eth/proposal/0x5522f4cbd034c966a08d6901b05c7ad7300041b3e0d75a0ad3da868af1a98b98)).
The proposal's authors wrote that "Gnosis Chain has failed to deliver on its original value proposition". That value proposition was credible neutrality: a decentralized, low-cost chain run by a large set of independent validators. They also explained the reason it didn't work: "Credible neutrality is Ethereum's home turf". Fee revenue covered only a small fraction of the cost of securing the chain, so the DAO treasury was paying for security.
This isn't a new project deciding where to launch. It's an established chain, with its own validators and years of history, concluding that being a separate L1 isn't worth what it costs.
What changes:
* Gnosis Chain stops running its own validator set. Ethereum takes over settlement, meaning the final record of who owns what.
* Gnosis still produces its own blocks, every 2 seconds, and proves its state to Ethereum every Ethereum block.
* Users keep their addresses, balances and contracts, and xDAI stays the fee token.
Gnosis calls this the first instance of an "Ethereum Economic Zone" (EEZ). The EEZ is a framework for rollups that are closely tied to Ethereum, co-led by Gnosis and ZisK and co-funded by the Ethereum Foundation.
According to Gnosis, the EEZ gives it something no L2 currently offers. A contract on Gnosis can call a contract on Ethereum mainnet and use the result in the same transaction, with no bridge and no waiting. Apps on Gnosis could then use Ethereum's liquidity directly, as if it lived on Gnosis.
Gnosis does give something up. It no longer controls its own settlement, and at launch Gnosis Ltd runs the sequencer, the single operator that puts transactions in order. Gnosis says it will come back to the DAO with evidence before deciding whether to decentralize it.
That's a real trade-off, but the risk is limited. Per Gnosis, every block is proven and settled on Ethereum, so the sequencer can't forge state, steal funds or roll back finalized history. It can only delay or leave out transactions. On a standalone L1, the chain's own validators are the last word. Here, Ethereum is.
Proving starts with an interim setup and moves to ZK proofs as the full EEZ spec is completed, which Gnosis expects over the course of 2027.
The proposal targeted the switch to a rollup for around the turn of the year. After that, the key milestones will be users having the capability to force a transaction through Ethereum if the sequencer ignores them, the upgrade keys being spread across a large number of independent parties or eliminated altogether, and users being able to withdraw without the operator's cooperation. Fees, uptime and withdrawals should be similar to the old chain.
This sets a precedent. Plenty of L1s run their own validators, bridges, tooling and liquidity programs, and pay for all of it themselves. Gnosis evaluated the costs and decided settling on Ethereum is the better deal. The L1 premium is gone, and I expect more established chains to come to the same conclusion.

GnosisDAO voted on Aug 19 to turn Gnosis Chain from an independent L1 into a rollup that settles on Ethereum. The result was 123,158 GNO for, 115 against ([vote and proposal](https://snapshot.org/#/s:gnosis.eth/proposal/0x5522f4cbd034c966a08d6901b05c7ad7300041b3e0d75a0ad3da868af1a98b98)).
The proposal's authors wrote that "Gnosis Chain has failed to deliver on its original value proposition". That value proposition was credible neutrality: a decentralized, low-cost chain run by a large set of independent validators. They also explained the reason it didn't work: "Credible neutrality is Ethereum's home turf". Fee revenue covered only a small fraction of the cost of securing the chain, so the DAO treasury was paying for security.
This isn't a new project deciding where to launch. It's an established chain, with its own validators and years of history, concluding that being a separate L1 isn't worth what it costs.
What changes:
* Gnosis Chain stops running its own validator set. Ethereum takes over settlement, meaning the final record of who owns what.
* Gnosis still produces its own blocks, every 2 seconds, and proves its state to Ethereum every Ethereum block.
* Users keep their addresses, balances and contracts, and xDAI stays the fee token.
Gnosis calls this the first instance of an "Ethereum Economic Zone" (EEZ). The EEZ is a framework for rollups that are closely tied to Ethereum, co-led by Gnosis and ZisK and co-funded by the Ethereum Foundation.
According to Gnosis, the EEZ gives it something no L2 currently offers. A contract on Gnosis can call a contract on Ethereum mainnet and use the result in the same transaction, with no bridge and no waiting. Apps on Gnosis could then use Ethereum's liquidity directly, as if it lived on Gnosis.
Gnosis does give something up. It no longer controls its own settlement, and at launch Gnosis Ltd runs the sequencer, the single operator that puts transactions in order. Gnosis says it will come back to the DAO with evidence before deciding whether to decentralize it.
That's a real trade-off, but the risk is limited. Per Gnosis, every block is proven and settled on Ethereum, so the sequencer can't forge state, steal funds or roll back finalized history. It can only delay or leave out transactions. On a standalone L1, the chain's own validators are the last word. Here, Ethereum is.
Proving starts with an interim setup and moves to ZK proofs as the full EEZ spec is completed, which Gnosis expects over the course of 2027.
The proposal targeted the switch to a rollup for around the turn of the year. After that, the key milestones will be users having the capability to force a transaction through Ethereum if the sequencer ignores them, the upgrade keys being spread across a large number of independent parties or eliminated altogether, and users being able to withdraw without the operator's cooperation. Fees, uptime and withdrawals should be similar to the old chain.
This sets a precedent. Plenty of L1s run their own validators, bridges, tooling and liquidity programs, and pay for all of it themselves. Gnosis evaluated the costs and decided settling on Ethereum is the better deal. The L1 premium is gone, and I expect more established chains to come to the same conclusion.

Two or three years ago I wrote a series called "[Adult Cryptocurrencies, Ranked & Explained](https://web.archive.org/web/20230721094357/https://uncles.cash/adult-cryptocurrencies-ranked-explained-again/)" which was an annual series about what would happen if someone made a one-time $100 investment into as many adult cryptocurrencies as they could find in 2021. Well, the last entry was published in 2022, just as things were getting interesting. But after a longer gap in between I thought it would be fun to recap and do a "where are they now" sort of post here. And just to reiterate:
>*Degen* trading is risky, fun and only adults should be doing it anyway.
For brevity I’ll copy the original format with shorter summaries since I'm doing this for ~~free~~ fun.
According to [cryptoslate](https://cryptoslate.com/cryptos/adult/), [coinmarketcap](https://coinmarketcap.com/view/adult/) and [coinlore](https://www.coinlore.com/crypto/adult/all) who specifically categorizes adult, the total marketcap for coins in the sector is valued at around $5.6M. A number much lower than I expected but, like in the original series, a closer look reveals coins not accounted for, despite being *porn-coded*. When considered, that number is as high as $62M. About half what it was over three years ago. Which means we lost money. But how come? Let's kick it off with our first mention:
**PornRocket (**[**PORNROCKET**](https://coinmarketcap.com/currencies/pornrocket/)**)**
One of the most valuable still on the list although can't seem to figure out why. So either I'm an idiot or [their website](https://nsfw.app/) is down. I didn't stick around long enough to figure out which. Speculative at best imo.
**Verge (**[**XVG**](https://vergecurrency.com/)**)**
Up first in the last entry and by far the most valuable, this one [has always been interesting.](https://www.reddit.com/r/CryptoCurrency/comments/8d3610/why_the_vergepornhub_partnership_didnt_move_the/) Being the first to partner with a major platform: PornHub. I think this project is a good example of why people shouldn't really ride hype cycles since its appointment to **King of the Category** was earned the old fashioned way. Verge is just good at being a low-drama cryptocurrency that does the job. I'm not even sure it was even supposed to be an "adult coin".
**LOOD (**[**NOOD**](https://loodclips.com/noods)**)**
The largest gainer last time by technicality, this one is a content creator-led DAO with [experienced developers](https://www.xbiz.com/news/261723/titcoin-founder-launches-lood-cryptocurrency). Although a few rocky years after launching to sky-high gas fees on Ethereum led to the project [recently splitting in two](https://medium.com/loodcrypto/web3-is-the-future-of-adult-entertainment-6a9ac9bd957c). Work continues on being the adult industry's "G Suites".
**TABOO TOKEN (**[**TABOO**](https://coinmarketcap.com/currencies/taboo-token/)**)**
Well they had a nice website at the time but that's now down. This one has completely flatlined.
[**CumRocket**](https://www.cumrocket.io/) **(CUMMIES)**
You know, last time I said that this rocket came down a long way since Elon Musk theoretically tweeted about it. I said,
>This coin has no purpose but they’re trying to find one, again.
And not much has changed since. But it's [definitely not](https://x.com/CumRocketCrypto) dead.

Note that all projects on this list have or at least *had* at some point working products or verified teams. And while there have been adult-themed memecoins that hit sizable market caps on launchpads, pretty much all those projects obviously had no real intention of being useful and often had no real affiliation with the adult industry. But there is one honorable mention:
**MOTHER IGGY (**[**MOTHER**](https://www.mother.fun/)**)**
Iggy's idea. Stylized $MOTHER. I like this one because it never really pretended to be much despite being official.

I hope you enjoyed the piece. What made me write the originals was my role in helping develop a lot of the very first adult crypto payment systems from 2013 to around 2017 (see: my username) so its been interesting to keep up with the much faster pace of todays market. Let me know if there's anything you think I missed worth mentioning. Or if you've held any of these projects, feel free to vent.

Claro en la DAO tenemos espacios de Academy, que quieres explicar o entender realmente?