Covalent Network, the modular data infrastructure provider for AI and Web3, today announced the successful approval and execution of its governance proposal to migrate its native token from the old CQT ticker to the new CXT ticker and network contract. This pivotal change represents a significant milestone in Covalent's commitment to evolving its infrastructure to better support modular data solutions for AI and long-term data availability.
New Dawn Initiative Completed with CXT Contract Live
The successful migration to CXT also marks the completion of the New Dawn initiative. Key highlights of this initiative include the addition of Arthur Hayes, co-founder of BitMEX, as a strategic advisor; a $5 million fundraise led by RockTree Capital; the migration of staking from Moonbeam to Ethereum; and a refreshed brand identity. The CXT migration sets the stage for Covalent’s next growth phase, encompassing community expansion, long-term data availability, additional advisors, and new funding rounds.
CXT: A New Era for Covalent
The transition from CQT to CXT is more than a simple ticker change; it marks the beginning of a new era for Covalent. This migration aligns the token with Covalent’s enhanced mission of providing a robust, decentralized modular data infrastructure tailored for the future of AI and secure, long-term data storage. The new ticker, CXT, symbolizes limitless potential and a broader scope for Covalent’s objectives beyond the old Covalent Query Token (CQT). CXT is at the heart of operating the network, securing thousands of network customers, over 230 blockchains, and enriching more than 300 million wallets with Covalent Network data.
Key Changes and Benefits of the Migration
Improved Alignment with Mission: The new CXT token better represents Covalent’s evolved mission, focusing on modular data infrastructure and AI. It encapsulates the network’s expanded vision and capabilities.
Enhanced Staking and Governance: The migration moves staking and governance operations from CQT to CXT, improving efficiency and security of governance processes.
Distribution and Security: CXT tokens are distributed directly to CQT holders on Ethereum, ensuring a smooth and secure transition. Holders using wallets like Safe, Metamask, Rabby, or Ledger receive CXT automatically.
Liquidity Enhancement: The migration plan includes measures to improve overall liquidity, providing a more stable and active trading environment for CXT.
Deprecation of CQT: With the ratification of this proposal, CQT is deprecated. The community fully transitions to using CXT, which offers better on-chain metrics and improved token management.
Security Audits and Migration Process
Covalent ensured the migration process is secure by undergoing thorough audits by Quantstamp, Hacken, and QuillAudit. These audits confirm the integrity and security of the migration process, providing assurance to all token holders. No action is required by existing token holders. Stakers will automatically have their staked CQT positions migrated to CXT. Centralized exchanges such as OKX, Gate, Crypto.com, KuCoin, BingX, and MEXC are ready to support the transition, with each exchange handling distribution and resumption of trading according to their own schedules.
Looking Ahead: Promising Future
The successful migration to CXT signifies the dawn of a new era for the Covalent Network. With CXT, Covalent is uniquely positioned to lead advancements in AI and decentralized data infrastructure. The unwavering support and active engagement of the community are essential as Covalent embarks on this transformative path. The team remains committed to progress and growth, with no plans to halt or scale back.
For more information, visit the official Covalent blog and FAQ document.