- SOON Foundation initiates a token burn to stabilize prices.
- 3% of supply, totaling 30 million SOON, will be destroyed.
- Immediate actions to enhance transparency and community trust.
SOON Foundation announced a significant governance proposal on July 11 due to recent price manipulation incidents. This includes the destruction of 30 million SOON tokens, accounting for 3% of total supply.
The proposal is significant for addressing market volatility and restoring investor trust while planning future governance systems.
SOON Foundation’s 30 Million Token Burn Plan
SOON Foundation responds to market volatility by proposing a governance strategy involving a token destruction plan, aiming to eliminate 30 million tokens. The initiative targets unclaimed tokens and plans further purchases from exchanges. Increased communication via Twitter AMA is also a key part of their response, with leadership from Joanna and Henry ensuring transparency.
The immediate result is the reduction of token supply by 3%, intended to stabilize market prices by diminishing circulating supply pressures. By establishing an on-chain buyback product and launching a governance system, the Foundation aims to bolster investor confidence and enhance support.
Joanna, Founder, SOON Foundation, “By destroying 30 million tokens, we are taking a significant step towards reducing supply and bolstering investor confidence in our project.”
Price Impact: SOON’s Recent Volatility and Recovery
Did you know? BNB’s quarterly token burns historically enhance token scarcity, aiding price stability. SOON’s proposed burn mirrors this successful model, seeking similar long-term benefits.
As of the latest data from CoinMarketCap, SOON’s price recovery is evident. Trading at $0.17, its market cap is $29,261,271 with a 6.40% increase in the past 24 hours. However, concerns remain due to a 30.34% price drop over the past week. The forthcoming governance proposal may bolster confidence by stabilizing supply.
The Coincu research team underscores that if implemented effectively, the token destruction plan could alter perceptions within the crypto space, influencing similar governance strategies among other projects. This strategic reduction aims to mirror successful precedents like the BNB burn, potentially setting a valuable reference point for future financial policies within the industry.
| DISCLAIMER: The information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing. |
Source: https://coincu.com/348055-soon-foundation-token-destruction-proposal/