Lisk will have to make a decision soon about whether or not it wants to burn 100 million LSK as its initial vote in favor of a newly created decentralized organisation.
On September 27, Lisk will vote for seven days on burning 100 millions LSK tokens (representing 25% of total LSK supply) or allocating these tokens to community incentives up to 2033.
According to a Lisk press release, shared by crypto.news with the team. “first major vote” Lisk DAO is a newly-formed, decentralized autonomous organization that recently relocated to the Optimism The Superchain will lower the access to network products throughout the Ethereum ecosystem.
If the community chooses to burn tokens, then the LSK total supply will drop from its current 400 million to just 300 million. Conversely, if the community chooses to allocate the tokens, they will be vested into the Lisk DAO Fund from 2027 – 2033 to enable the community to “drive initiatives, support growth campaigns, and finance innovative projects over the next decade,” The press release says.
Dominic Schwenter is Lisk’s Chief Project Officer. He has stated that Onchain Foundation, (formerly Lisk Foundation), will not be participating in the voting. “to ensure a fair and community-focused decision-making process.”
Lisk, which was first launched back in 2016, revealed the migration plan for Lisk in 2023. At the time, Lisk said in an blog post The decision was based on necessity “to upgrade” Lisk’s ecosystem will be able to make the original layer-1 network more robust. “cost-effective for users and developers.”
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Source: crypto.news
