$KOM from 40B to 2B tokens a reduction of 95%!
We’re extremely excited to bring a huge announcement to the KOMmunity!
Many $KOM investors have highlighted the issue of the total maximum supply of 40B $KOM. We have taken your feedback very seriously and have been racking our brains to find the best solution to address this issue.
After consultation among our internal team, advisors and of course our KOMmunity, we are delighted to announce that we will reduce the total maximum supply of $KOM from 40B to 2B tokens — a reduction of 95%! With approximately 1.1B $KOM currently in circulation, will have a better circulating-to-total-supply ratio than most crypto projects already in the cryptosphere!
You may wonder how we are going to suddenly reduce our total supply when most of it is still locked in our DxLock contract. Well, we will unlock our tokens from the DxLock contract according to the schedule — which we have not done before — and burn them immediately when they are released. We will update you on the status of $KOM burn at the end of every month, together with our monthly report. Our DxLock vesting will take place monthly until September 2025, and you may find out more info about our DxLock vesting here.
What about our Social Engagement Burn which we conduct every month? What will happen to Social Engagement Burn? The Social Engagement Burn is a way for us to reduce our total supply while incentivizing the KOMmunity to promote our socials. Although we will directly burn the tokens released from our DxLock contract on a regular basis, Social Engagement Burning will continue to stay, albeit with a lower multiplier.
You may also wonder why we just cannot simply reduce our total supply to 1.1B $KOM, which is the same as the current circulating supply. The reason is that we have fair amount of $KOM in liquidity pools, and we still need $KOM to provide interest for stakers (you can stake KOM here) as well as $KOM for potential CEX listings and other purposes in the near future.
We would like to end off by giving a big shout-out to the KOMmunity for their support, suggestions and opinions in the past few months, all for the vision of moving Kommunitas forward. We have received many great suggestions and are grateful for the incredible support which we have received. We will move forward as one!
Thank you all for reading and have a nice day!