The value of $FLOKI shot up by 20% in one day as the Floki DAO weighs a proposal to burn the memecoin’s bridge and slash the transaction tax by 90%.
99%+ in Favor of DAO Proposal
Who says you shouldn’t burn your bridges? The price of $FLOKI has increased by 20% in the day since a proposal was floated to terminate the Floki cross-chain bridge between BNB Chain and Ethereum, burn more than $65 million worth of tokens on the bridge, and reduce the token’s buy/sell tax by 90%.
As laid out in the proposal before the Decentralized Autonomous Organization (DAO) , the Floki team created the cross-chain bridge in order to expose the then-Ethereum-based memecoin to the BNB Chain community, while keeping the total supply of $FLOKI on both chains to 10 trillion tokens. Now, six times as many $FLOKI holders are on BNB Chain as opposed to Ethereum, although the total number of tokens held on Ethereum is slightly higher.
Citing the equilibrium that has been achieved, the Floki proposal says the bridge is no longer needed and instead poses a security risk to the project since it holds a majority of the token’s maximum supply (most of it “inactive” tokens that a clever hacker could potentially activate).
Destroying the bridge would also involve burning 4.97 trillion tokens, with a current value of — as of the time of writing — more than $65 million. Additionally, 600 billion tokens (current value $8.0 million) that were used to seed the bridge would be returned to the Floki treasury, and be split between boosting the Valhalla ecosystem and general operations and growth.
The influx of funds, plus Floki’s growing utility projects (such as the Shop Floki merchandise store), would offset the revenue generated by the token’s current 3% transaction tax, which has fallen off dramatically during the bear market. Accordingly, the proposal calls for cutting that tax to 0.3%.
According to the dev team, the total supply of $FLOKI will remain below 10 trillion tokens.
Midway through the voting period, which ends Jan. 28, the Viking community has responded to the proposal with practically unanimous support so far. Approximately 99.5% of votes have been cast in favor of the option to burn the bridge and cut the tax.
What is Floki:
Floki Inu began with a tweet from Elon Musk. When the billionaire announced he would name his Shiba Inu puppy Floki, it created a deluge of ‘Floki’ dogcoins. The most successful of these is Floki. Floki is currently the third most popular meme token on the market, behind Dogecoin and Shiba Inu. It is backed by a community of committed enthusiasts and a strong marketing campaign.
Where to find Floki:
Source : bsc.news
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