GnosisDAO has approved GIP-153, a direction-level mandate to retire Gnosis Chain's standalone Layer 1 and re-architect it as a zero-knowledge-proven Ethereum Economic Zone rollup that settles directly to Ethereum every block. The vote retires the network's independent validator set and inherits Ethereum validator security instead, which would unlock roughly 350,000 GNO currently locked in staking, approximately 27% of the token's circulating supply.
Why it matters
The shift upends the existing token model. Gnosis Chain today pays validator rewards out of its treasury because network fees cover only a fraction of security costs, a structure GIP-153 estimates dilutes non-stakers by about 2.3% annually. Once staking ends, that subsidy disappears, and the DAO wants to replace it with rollup-linked revenue: fee sharing or GNO buybacks tied to network activity, with a separate governance proposal to follow.
The structural pitch is synchronous composability. As co-founder and CEO Martin Koeppelmann put it, a Gnosis contract will be able to call an Ethereum contract and use the result in the same atomic transaction, no bridge required. Aave, Spark, Fluid, CoW Swap, Safe and Centrifuge have committed to building consumer-facing products in the new environment. The trade-off is explicit: Gnosis Ltd. will run the sequencer that initially orders transactions and produces blocks, while proofs and settlement move to Ethereum. GIP-153 frames the less-decentralized execution layer as a deliberate choice.
Market impact
GNO rallied roughly 10% to as high as $136 around the vote, its highest level since May, even with the prospect of a large liquid-supply expansion hanging over the token. The approval is a mandate, not a launch decision: no funding or completed technical design has been approved, and the first EEZ version is targeted for December 2026 or January 2027 depending on infrastructure readiness. For GNO holders the change swaps one established source of token utility (securing the chain) for an unfinished revenue model, while putting a 350,000-GNO overhang back into liquid markets.
Frequently asked questions
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How much GNO will the Gnosis Chain transition unlock?
Roughly 350,000 GNO are currently locked in staking, equivalent to about 27% of the token's circulating supply. The tokens are already counted as circulating, but the transition ends their role in securing the chain and returns them to liquid markets.
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What did GIP-153 actually approve?
GIP-153 is a direction-level mandate to retire Gnosis Chain's standalone Layer 1 and re-architect it as a ZK-proven Ethereum Economic Zone rollup. It does not approve funding or a completed technical design, and the first EEZ version is targeted for December 2026 or January 2027.
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How will GNO token economics change after staking ends?
Gnosis currently pays validator rewards from its treasury, which GIP-153 estimates dilutes non-stakers by about 2.3% annually. That subsidy ends when the validator set retires, and the DAO plans to link GNO to rollup revenue via fee sharing or buybacks, with a separate governance proposal to follow.
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What is synchronous composability in the new Gnosis design?
Synchronous composability lets a Gnosis contract call an Ethereum contract and use the result within the same atomic transaction, without bridging assets between separate networks. Martin Koeppelmann framed it as Gnosis letting users reach Ethereum mainnet from a single block.
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What decentralization trade-off comes with the migration?
Gnosis Ltd. is expected to operate the sequencer that initially orders transactions and produces blocks, while proofs and settlement move to Ethereum. GIP-153 explicitly describes the move toward a less-decentralized execution layer as a deliberate choice.
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