The post Astar Network falls behind ahead of 350M token burn: What about ASTR? appeared on BitcoinEthereumNews.com.

The Astar community concluded voting on the token burn proposal on the 2nd of June. Before mid-June’s price struggles, ASTR last traded below $0.070 at the end of November. Astar [ASTR] was trading 6.63% in the red at press time, in tandem with the broader crypto market, following fears of a worse-than-expected U.S. inflation outlook. The latest price move comes just a day after the Astar community voted in favor of burning 350 million ASTR tokens, translating to 5% of its total supply at genesis. ASTR token burn execution timeline The Astar Foundation had set aside the tokens for the Polkadot parachain auctions — a mechanism for projects to secure parachain slots on the Polkadot [DOT] relay chain. Blockchain projects essentially submit bids in the DOT native token to the relay chain as part of the candle auction process to determine which ones connect to a parachain slot for a given lease period. Polkadot, however, announced in November 2023 that it was phasing out the parachain auctions system and replacing it with Agile Coretime or Bulk Coretime. In light of the updated mechanism, the Astar Foundation proposed removing the allocation from circulation as part of a strategy to improve ASTR’s tokenomics.  Rewards amounting to 74 million ASTR yielded from this initial token allocation will be retained and held by the community treasury to fund other initiatives. Astar Foundation Head Maarten Henskens confirmed the proposal passing the vote stage, adding that the execution phase of the token burn will commence by the end of this week. ASTR/USDT technical analysis News of the vote conclusion briefly catapulted ASTR price to an intraday high of $0.0791. CoinMarketCap data shows that ASTR’s 24-hour trading volume topped $78 million on Tuesday, up from $20 million on Monday. On some exchanges, including Binance [BNB], ASTR traded…

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Filed under: News - @ July 4, 2024 4:18 pm