The community behind Floki Inu, a Shiba Inu-themed decentralized finance (DeFi) project, recently voted to burn over $100 million worth of its FLOKI tokens.
The proposal to burn 4.2 trillion FLOKI tokens and reduce the transactional tax passed with a 99.97% majority, with developers citing security risks associated with cross-chain bridges as the main reason for the move.
The transaction tax will be lowered to 0.3% from Feb. 3 and the tokens will be burnt on Feb. 9, 2023. The project is part of the team’s plan to position Floki Inu as a serious DeFi project and has recently launched projects such as Floki Locker and Valhalla.
The FLOKI token was initially issued on Ethereum and later expanded to the BNB Chain, but a cross-chain bridge was needed to keep the circulating supply at 10 trillion tokens and allow for transfers between the chains.
With most of the tokens locked on Ethereum, the absence of a bridge will not threaten the stability of the project, developers said.
