The cryptocurrency world is a constantly evolving field. As a new development, a significant portion of the income generated from token sales is Flare will be invested back into its ecosystem and demonstrate a shared commitment to its growth.
FLR price increased by 19% as a result of early investors’ commitments to extended vesting, limited token sales and reinvestment of 50% of proceeds.
In a blog post on tokenomics for Flare, the ecosystem’s developers announced that they had agreed to strengthen their commitment to blockchain by gaining support from early investors such as Kenetic and Aves Lair.
These investors decided to extend the token vesting period from the original termination date of 2024 to the first quarter of 2026, in accordance with the terms of the new agreement.
Flare Tokenomics Update
An additional agreement was made to limit token sales to 0.5% of the 30-day average volume. This measure aims to reduce market volatility and stabilize FLR liquidity.
Additionally, in order to “encourage and enable the continued growth of the ecosystem,” early backers have committed to reinvesting at least 50% of the proceeds from token sales into Flare ecosystem initiatives over the next two years.
This commitment is estimated to be worth $35 million at current market value. Additionally, Flare and Kenetic announced that they are collaborating to improve DeFi capabilities.
Early investors will continue to receive 2% of the token supply, but there will be a 68% reduction in pre-distribution and an extended vesting period, as confirmed by Flare. This demonstrates the founders’ and investors’ shared commitment to Flare’s revolutionary vision.
Flare, a new blockchain platform introduced in 2020, has been precisely designed to facilitate interoperability with other blockchains, including the XRP Ledger and smart contract functionality.
Koinfinans.com As we reported, the price of Flare’s FLR token increased by approximately 19% following this news. Additionally, it is currently trading at $0.046.
