The Covalent Network, a modular data infrastructure layer for AI and Web3, has announced the successful approval and completion of its governance proposal to migrate its native token from the old CQT to the new CXT ticker and network contract. The new CXT network contract is now live and operational, marking a pivotal milestone in Covalent's commitment to evolving its infrastructure for modular data solutions in AI and Long-Term Data Availability.
The New Dawn Initiative Concludes
The migration also marks the completion of the New Dawn initiative, which included several key developments: Arthur Hayes (co-founder of BitMEX) joined as a strategic advisor; a $5 million fundraise led by RockTree Capital; and the migration of staking from Moonbeam to Ethereum. With CXT, Covalent enters its next growth phase of community expansion, long-term data availability, a refreshed brand, additional advisors, and new funding.
More Than a Ticker Change
Covalent emphasizes that the transition from CQT to CXT is not merely a ticker update but represents the beginning of a new era. The new ticker CXT symbolizes limitless potential and aligns with the network's enhanced mission of providing a robust, decentralized modular data infrastructure tailored for AI and secure, long-term data storage. CXT is at the heart of operating the network, serving over 230 blockchains and enriching more than 300 million wallets with Covalent Network data.
Key Changes and Holder Steps
The migration introduces several improvements: Mission Alignment: CXT better represents Covalent's evolved focus on modular data infrastructure and AI. Enhanced Staking and Governance: Staking and governance operations move from CQT to CXT, improving efficiency and security. Distribution Security: CXT tokens are distributed directly to CQT holders on Ethereum; users of wallets like Safe, MetaMask, Rabby, or Ledger receive tokens automatically. Liquidity Enhancement: Measures are included to create a more stable and active trading environment for CXT. Deprecation of CQT: After the proposal's ratification, CQT will be deprecated as the community fully transitions to CXT.
No action is required by existing token holders. All staked CQT positions (operators and delegators) will automatically migrate. Centralized exchanges will handle distribution to their customers, while self-hosted wallet holders receive CXT directly.
Security Audits
Covalent has ensured the migration process is secure through thorough audits by Quantstamp, Hacken, and QuillAudit. These audits confirm the integrity and security of the process, providing assurance that all funds remain safe.
Centralized Exchange Support
Major centralized exchanges including OKX, Gate, Crypto.com, KuCoin, BingX, and MEXC are prepared to support the transition. CQT trading halted at 00:00 UTC on July 9, 2024, following the launch of the governance proposal, with each exchange setting its own schedule for CXT trading resumption.
Looking Ahead
Covalent states that the successful migration to CXT signifies a new dawn for the network. With CXT, Covalent is uniquely positioned to lead advancements in AI and decentralized data infrastructure. The community's unwavering support and active engagement are essential as Covalent embarks on this transformative path. Covalent is committed to progress and growth, with no plans to halt or scale back.
About Covalent: Covalent is the leading modular data infrastructure layer dedicated to solving major challenges in blockchain and AI, including verifiability, decentralized AI inference, and Long-Term Data Availability. Its large reservoir of structured, verifiable data enhances decentralized training and inference, reducing the risk of manipulated or biased AI models. The Covalent Network’s Ethereum Wayback Machine ensures secure, decentralized access to Ethereum’s transaction data. Trusted by over 3,000 leading organizations, Covalent powers AI, DeFi, GameFi, and more with unfettered access to on-chain data from over 230 blockchains.