Floki DAO to Burn 4.97 Trillion Floki Inu; FLOKI Soars

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  • A proposal to burn 4.97 trillion Floki Inu tokens has been approved.
  • The maximum amount of Floki Inu tokens is 10 trillion.
  • FLOKI spiked by almost 15% shortly after the plan was aired.

A proposal to permanently burn 4.97 trillion $FLOKI tokens in Floki’s main bridge and cut the Floki transaction fee to 0.3% has been formally approved by the Floki Decentralized Autonomous Organization (DAO).

The proposal was approved with a vote tally of 99.97% in support of both burning the bridge tokens and 0.03% against the proposal. This resulted in the proposal winning.

It is important to note that the maximum amount of Floki Inu tokens is 10 trillion according to CoinGecko. However, more than half of those tokens are allegedly kept in a cross-chain bridge that was built when the mainnet opened on the BNB Chain.

The development team emphasizes the potential security risks presented by this situation, pointing out in the proposal that cross-chain bridge vulnerabilities have resulted in over $2.5 billion in losses over the course of the previous two years. The developers noted:

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.

The overwhelming majority of the voters have declared their support of the initiative, with others also questioning if the development would affect what they currently have on an exchange platform.

Amid this report, the native token of the project, FLOKI, spiked by almost 15% shortly after the plan was aired. Currently, it trades at a 5-month high of $0.00002253 according to Coinmarketcap data. The current CoinMarketCap ranking is 222, with a market cap of $202,130,190.

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