We are excited to announce the activation of the upgraded, native WELL token on Base. This significant development, in combination with our new multichain governance infrastructure, enables the Moonwell community to vote and stake directly on Base and sets the stage for further growth and increased governance participation. Let’s dig into the details and learn how to upgrade your existing WELL tokens on Base!
At a Glance
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Native WELL and the new Multichain Governor are now live, empowering the Moonwell community to participate in governance from Base.
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WELL tokenholders can seamlessly upgrade their existing tokens on Base to native WELL using Moonwell's intuitive WELL migration wizard.
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Moonwell now features a convenient in-app transfer tool, enabling users to effortlessly move WELL between Base and Moonbeam.
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WELL staking is now available on Base, allowing tokenholders to earn rewards while contributing to the protocol's stability.
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A new WETH <> Native WELL pool is now available on Aerodrome.
Native WELL
The original WELL token, native to Moonbeam, has been a cornerstone of the Moonwell ecosystem, enabling the community to both govern and backstop the protocol. When Moonwell Governance voted to activate the protocol on Base in August 2022, a Wormhole wrapped variant of WELL was introduced to provide liquidity incentives for those supplying assets to this new deployment. However, a more adaptable and longer-term solution was needed to enable governance participation from this new network.
With this in mind, Moonwell contributors at Solidity Labs leveraged the xERC20 token standard to upgrade the WELL token on Base. This decision aligns with the growing trend of leading projects and protocols adopting xERC20 to upgrade their governance tokens for multichain usage.
Multichain Governor
The Multichain Governor, a groundbreaking development by the talented team at Solidity Labs, empowers the Moonwell community to participate in governance across multiple networks. This innovative system utilizes Wormhole’s advanced general message passing capabilities to relay proposal creation and vote collection messages between chains. This approach eliminates the barriers of siloed governance and enables the Moonwell community to have a unified voice, regardless of the network they call home.
The Multichain Governor, in combination with the upgraded WELL token, helps future-proof Moonwell and paves the way for the potential expansion to new Layer 1 and Layer 2 networks. By enabling seamless multichain governance, Moonwell on Base now has full feature parity and our governance infrastructure is truly scalable.
Upgrading to Native WELL
Upgrading your existing WELL tokens on Base to native WELL is a simple and user-friendly process, designed to ensure a smooth transition for the Moonwell community. The migration wizard, conveniently integrated into the Moonwell app, guides you through the upgrade process step-by-step. With just a few clicks, you can initiate the upgrade and track its progress in real time.
To support the community during this transition, Moonwell is subsidizing gas fees for each user’s first upgrade. This means that community members can upgrade their WELL tokens without incurring additional costs, making the process more accessible and affordable. For a comprehensive guide on using the migration wizard, please visit the WELL migration section of the Moonwell Docs.
Please note that gas fee subsidization is limited to one upgrade/migration per user, and only those with supplied assets on Moonwell will be eligible.
Transferring WELL Between Networks
With the introduction of native WELL on Base, transferring WELL tokens between Moonbeam and Base has never been easier.
Moonwell now features an in-app transfer tool, allowing users to easily switch between networks without the need to visit external bridging sites. To learn how to use the transfer tool, please visit the WELL transfer section of the Moonwell Docs.
WELL Staking on Base
A new Safety Module has also been deployed on Base, enabling WELL staking and providing an additional opportunity for token holders to earn rewards. Although staking rewards have initially been set to zero, they will be activated following the passage of Solidity Lab's MIP-B16 proposal.
The Safety Module plays a crucial role in backstopping the protocol, enhancing its stability and security. By staking WELL tokens, users not only have the potential to earn rewards but also contribute to the long-term health and resilience of the Moonwell protocol. Learn more about the Safety Module and how to stake your WELL tokens here.
Activate Your Voting Power
To participate in governance, tokenholders must delegate their upgraded WELL tokens. Staked WELL is automatically self-delegated and requires no further action to be eligible for voting, while unstaked or held WELL must be manually delegated. The delegation process is simple and can be completed directly within the Moonwell app. To learn more about WELL delegation and how to activate your voting power, please review the delegation section of the Moonwell Docs.
DEX Liquidity on Aerodrome
To support the upgraded WELL token, a new WETH <> Native WELL pool has been created on Aerodrome. Liquidity incentives will transition from the old pool to the new pool over the coming weeks, ensuring a smooth transition for liquidity providers. This new pool not only provides a liquidity source for those looking to swap to the native WELL token, but also offers an opportunity for liquidity providers to earn AERO rewards.
FAQ: Frequently Asked Questions
Q: What is native WELL?
A: Native WELL is the xERC20 version of the WELL token, which is multichain fungible and native to the Base network. It will replace the currently available version of WELL on Base, which is Wormhole wrapped.
Q: What is the main benefit of upgrading to native WELL on Base?
A: Upgrading to native WELL on Base enables tokenholders to participate in governance, staking, and liquidity provisioning on Base.
Q: How do I upgrade from Wormhole wrapped WELL to Base native WELL?
A: To upgrade from Wormhole wrapped WELL to Base native WELL, use the migration wizard in the Moonwell app. The migration wizard will guide you through the process step-by-step, making it easy for you to upgrade your tokens.
Q: I have WELL on Moonbeam. How do I transfer it to Base?
A: To transfer your WELL tokens from Moonbeam to Base (or vice versa), use the transfer tool in the Moonwell app.The transfer tool allows you to seamlessly move your WELL tokens between the two networks.
Q: Is there a deadline for upgrading my Wormhole wrapped WELL tokens on Base?
A: While there is no strict deadline, it is recommended to upgrade your Wormhole wrapped WELL tokens to Base native WELL tokens as soon as possible to ensure you can participate in governance and staking, as well as access the new liquidity pool on Aerodrome.
Q: When I try to use the migration wizard, it displays the message "try again once the Transfer Buffer has increased". What does this mean and what should I do?
A: The "Transfer Buffer" is a safety mechanism that limits the number of WELL tokens that can be transferred each day, acting as a hedge against potential vulnerabilities or compromises of the Wormhole protocol.
If you encounter this message, it means that the Transfer Buffer has been temporarily exhausted. However, there's no need to worry! The transfer buffer refreshes on a minute-by-minute basis, so you shouldn’t have to wait long to proceed with your token upgrade.
Q: Why am I still receiving Wormhole wrapped WELL as a reward on Moonwell?
A: Due to the current reward structure on Moonwell, users will continue to receive Wormhole wrapped WELL tokens as rewards until the next epoch transition. To facilitate a seamless switch to native WELL, emissions admin Warden Finance will be updating the reward streams on April 19th, at which point users will start receiving native WELL tokens as rewards instead of the Wormhole wrapped variant.
Q: Can I still use my Wormhole wrapped WELL tokens now that Base native WELL has been introduced?
A: While you can still hold and transfer your Wormhole wrapped WELL tokens, they will not be eligible for voting, staking, or providing liquidity to the new Aerodrome pool. It is strongly recommended to upgrade your tokens to Base native WELL.
Q: Where can I find support if I encounter issues while upgrading or transfering WELL?
A: If you need assistance or have any questions during the upgrade or transfer process, please join the Moonwell Discord, where Moonwell contributors and community members will be happy to help you.
Conclusion
The activation of native WELL on Base marks a significant milestone in Moonwell's journey towards true multichain governance and community empowerment. By enabling governance and staking on Base, Moonwell is bringing full feature parity to its newest deployment and empowering the community to vote and stake from their preferred network.
We invite you to join us in this exciting new chapter and experience the benefits of native WELL on Base. If you have any questions or require assistance, Moonwell’s dedicated contributors and community members are always ready to assist in the Moonwell Discord server.