Floki DAO, the decentralized governance body of leading memecoin protocol Floki Inu (FLOKI), has announced a reduction in the on-chain tax rate for transactions involving TokenFi (TOKEN), its first protocol. Here are the details of the new tax rate and more.
When Floki Inu introduced TokenFi on October 26 and listed it on decentralized cryptocurrency exchanges Uniswap and PancakeSwap, it announced that the initial tax rate would be set at 20% for the first hour of the launch. This move aimed to prevent excessive selling of TOKEN by investors who could manipulate the market value of the asset upon listing.
The plan outlined at that time was to reduce the taxation rate to 5% after the first hour and then leave the decision to decrease or increase the rate to Floki DAO. With the latest announcement from Floki Inu, the transaction tax for the altcoin has been reduced to 0.30% in order to reduce entry barriers and attract more users to the TokenFi ecosystem.
With the reduction in the tax rate, new buyers may be interested in restarting the prices of TOKEN and FLOKI, which have dropped to $0.03996 and $0.0000306, respectively, with a decrease of 12.73% and 1.15% each. It should be noted that TOKEN was launched in the market just on October 27 and has since increased its price by an astonishing 85,700%.
Designed to disrupt the tokenization world, Floki Inu positions TokenFi to compete in this rapidly growing space with a projected valuation of $16 trillion by 2030. The launch of TokenFi has helped Floki Inu evolve into a protocol with defined features and use cases beyond being just a memecoin. While the testnet is planned to go live before the end of this year, the launch has increased the interest in TOKEN with a rising trend in FLOKI, which has surged by over 80% temporarily to reenter the top 100 based on market value.
The emergence of TOKEN was followed by its listing on leading cryptocurrency exchanges based on the demand from the members of the crypto community. Among the major crypto exchanges that have listed TOKEN, in addition to Uniswap and PancakeSwap, are Binance, KuCoin, and Bybit.
Bitget was among the first exchanges to list TOKEN after its release, but the trading platform stepped back from the listing, accusing the Floki Inu team of manipulating the circulating supply of the asset. However, Floki Inu later addressed the issue and revealed that the team had listed an unauthorized version of TOKEN, disregarding a previous warning issued by Bitget to protect investors.