One of Shiba Inu’s (SHIB) biggest rivals just voted to burn nearly 5 trillion of its tokens, which is about half of its total supply.
Floki (FLOKI) is a Dogecoin (DOGE) and SHIB competitor that was created when tech mogul and crypto enthusiast Elon Musk said he was naming his puppy “Floki.”
FLOKI now has a market cap of $231 million – with prices 92.6% down from all-time highs, currently trading at $0.00002472.
Now, the Floki Inu community has voted to burn 4.97 trillion tokens as part of a recent proposal that focuses on reducing the risk surrounding the cross-chain bridge that currently holds the tokens.
Says the project,
“In Floki’s case, an exploit on our main cross-chain bridge would have a catastrophic impact on the project since this bridge currently holds 55.7% of what should be FLOKI’s total circulating supply (even though it is supposed to be locked/inactive, an exploit could quickly change that). This is A LOT of tokens, and that’s more than enough to drain the project’s liquidity pools and essentially destroy the project if exploited.
In light of this fact, we feel it would be in the best interest of the project to permanently disable our main cross-chain bridge and BURN the tokens in the bridge if the DAO [decentralized autonomous organization] votes in favor of doing so.”
The proposal also includes the reduction of transaction tax that was previously used to help fund development. The FLOKI developers now suggest that the tax has become a net negative in the crypto bear market.
“We’ve gotten a lot of feedback about the transaction tax, paid attention to industry sentiments about it, and carefully looked at the data, and our conclusion is that the tax is currently causing the project more harm than good and significantly limiting its growth and adoption. Many people (both individuals and institutions) would NOT engage with a token with a high transaction tax.”
The proposal suggests to reduce the transaction tax from 3% to 0.3%.
At time of writing, the proposal has support from 99.97% of voters.
FLOKI is currently up 204% from this month’s opening price of $0.00000813, vastly outperforming SHIB, its main rival, by a significant amount.
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Featured Image: Shutterstock/Nafees Zia
