Altcoins continue to offer new system proposals. Following Uniswap (UNI)’s massive burn system launch a few days ago, Sonic Labs has now made a new move.
Accordingly, Sonic Labs, formerly known as Fantom, rebranded as Sonic, and launched the “S” token last year, also announced its new token burn system.
In the statement, Sonic Labs stated that they plan to offer a fee monetization system that burns tokens while rewarding developers.
According to a post by Sonic Labs CEO Mitchell Demeter, Sonic Labs plans to launch a deflationary token economy model, or “token burn based on fee income,” for its native token “S.”
The new model will use tiered fee rewards for builders and validators, and S token burns will be used to create deflationary pressure.
Under the new system, a portion of transaction fees ranging from 15% to 90% will go to network developers as rewards. A fixed 10% will be allocated to validators, and the remainder will be burned.
Sonic Labs aims to support ecosystem growth by rewarding developers and validators.
“We aim for Sonic to be not only the fastest but also the most functional and developer-friendly network. Our goal is to increase deflation and strengthen long-term value alignment,” Demeter said in its X post.
Demeter added that the new system will be formalized through an on-chain governance vote. At this point, the new burn system will be presented to the community through an on-chain governance vote. If approved, it will go live. However, no specific date or timeframe has been provided regarding when the community governance vote will take place.
As you may recall, Uniswap also introduced a massive burn system for its native token, UNI. The burn system, which was also reportedly implemented in the past, initially planned to burn 10% of the supply. The proposed burn led to a price increase of over 30% in just one day.
*This is not investment advice.
Source: https://en.bitcoinsistemi.com/winds-of-change-in-altcoins-after-uniswap-uni-another-surprise-altcoin-announces-its-deflationary-move/
