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The price of dog-themed token floki (FLOKI) surged by more than 100% in the past 24 hours as a proposal to burn 2% of the token’s supply was passed by the community, proposal data shows.
Nearly 90% of votes favored the burn, with the top voter staking 117 billion tokens. The event is expected to occur after a seven-day period.
Burns refers to permanently removing tokens from circulating supply by sending them to a crypto wallet that no one controls. Floki previously conducted a burn event in January 2023.
Last week, developers proposed removing 190 billion tokens, worth $11 million at the time, increasing network security and boosting bullish sentiment for the tokens. The burn plans were first reported on CoinDesk and prices have been up 140% since.
The tokens for the proposed burn will originate from the supply stored on the Multichain bridge. Multichain was a platform that let users transfer tokens between various networks – but imploded in July 2023 after an exploit saw over $130 million in funds stolen from the platform.
A euphoria around meme coin investing likely contributed to the massive FLOKI surge, with prices of prominent tokens dogecoin (DOGE), shiba inu (SHIB) and bonk (BONK) up more than 50% in the past week.
The meme coin category tracked on CoinGecko is up 40% in the past 24 hours, while CD20, a broad-based liquid index, is up 4%.
Edited by Oliver Knight.