The developers behind the meme coin Floki Inu are set to launch a staking and reward program on October 27, the team said via a post on X (formerly Twitter).
The reward program is designed to increase investor interest in the Floki ecosystem and add value to the crypto space.
The developers stated that the main way to earn the reward token will be by locking up and staking $FLOKI for a duration of three months to four years. There will not be any pre-sale or fundraising for these tokens and most of the supply can only be earned by staking FLOKI. The reward token will be a strong utility token.
Staking refers to the act of locking up a portion of cryptocurrency to support the security and operation of a blockchain network.
“Heavy development is already underway for this utility project: we’ve hired several new developers (and would hire more) to ensure that Floki development activities aren’t affected, and the tokenomics is designed to ensure long-term development sustainability for this project,” the team added.
The decision to stake aims to ensure that FLOKI holders control the distribution of the token and benefit from its success since a lot of the FLOKI tokens will be taken out of circulation due to the new token.
A portion of the token supply will be used to create a small pool on two decentralized exchanges: Uniswap and PancakeSwap to ensure liquidity is available.
The project has formed a partnership with DWF Labs as its main market maker and institutional partner to ensure the success of the new token.
Notably, the developers said the project will not make the FLOKI token inflationary and will not introduce more FLOKI tokens into circulation.
In a situation whereby an individual decides to opt out of the staking program, he will have to pay a penalty fee of 5 – 20% of the number of tokens they staked, depending on how long they staked for, which will then be sent to a burn address.
The team ended the post by advising users to beware of scammers. They specifically said they would not be the first to DM anyone about any token.
