Gnosis Avoids High Ethereum Fees by Leveraging the xDai Sidechain

CryptoMode Gnosis xDai

A lot of projects built on top of Ethereum are running into gas fees problems. Gnosis is the latest to acknowledge this pressing problem. Partnering xDai to offset this problem is a necessary change.

Gnosis Taps xDai for Sustainability

  • Operating on Ethereum’s main network has proven to be a headache when transaction costs rise significantly. 
  • In recent months, there have been numerous incidents affecting any project on the blockchain.
  • For Gnosis and its users, the higher transaction cost is posing a lot of concerns.
  • Making low-value transactions on Ethereum is, from an economic point of view, no longer feasible. 
  • Unfortunately, this will also mean that some projects may see less adoption than what they had initially expected.
  • For Gnosis, teaming up with xDai is a solid decision.
  • This Ethereum sidechain is designed for fast and cheaper transactions, combined with a developer-friendly environment.
  • As part of the partnership, Gnosis has obtained STAKE Governance token through a proportional investment.
  • These tokens will remain locked for 12 months.
  • Following this partnership, Gnosis users can expect to see existing products launch on xDai, including the DEX, multiisg wallet, and token framework.
  • It is very likely other Ethereum projects will need to explore scalable solutions to keep transaction fees low.
  • Luckily, solutions such as xDai and many others can make this happen. 

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