ColdStack’s Burn Mechanisms
Big news for the ColdStack community!
We will be conducting potentially one of the biggest token burning events of the year 2022 if not ever speaking percentage wise. This is our second burn event, with burns being done periodically based on what is determined to be an appropriate supply level for our system. As $CLS powers our platform, it is important for these levels to be controlled based on factors like demand and usage.
Here’s everything you need to know about our token burning event here at Coldstack:
For the entire year of 2022, all revenue generated by the Coldstack protocol in fees will be burnt, never to be seen again.
The event will start upon this article’s release and will run until 11:59pm on the 31st of December 2022
How much Coldstack is burned?
It is expected that approximately 2% of the entire supply, or approximately 1,000,000 tokens will be burned throughout the duration of the event
The exact amount of token burned is naturally variable as there is no set minimum and maximum bounds, however it will reflect 100% of all fee revenue generated by the protocol. This provides flexibility for efficient execution as supply and demand for $CLS changes.
Why?
Historically, Web3 clouds utilize their token in order to incentivize the maintenance of their peer-to-peer network, and the decentralized storage of data. These tokens are vital parts of the ecosystem of their respective project’s protocol, meaning the supply must inevitably be tied to system usage to run efficiently.
Coldstack Founder and CEO Alexander Shishow stated “Burns are an excellent way for us to help our platform’s efficiency, both for users and those operating our system. Having $CLS as the backbone of our platform gives us the freedom to have our supply reflect our project’s development stage, and will be of critical importance in creating an efficient platform economy as projects integrate ColdStack for their storage needs”.
For now this is the only burn planned on the horizon for us here at Coldstack, however more may be implemented should it be deemed necessary.
We here at Coldstack are on a huge mission to make Web3 decentralized clouds a thing not for the future but for the now. The tech is here, not a theoretical for the future. The ambition of the burn is to properly drive adoption and awareness for this emerging, game changing technology
As a project, we believe data is the digital world’s single most valuable resource. It has allowed the largest tech companies to be built off of you. Our mission is to unite the decentralized storage network (DSN) ecosystem and give back control of your data to you by making the next evolution in cloud technology and data ownership cheap, effective, and easy for anyone to use.
Coldstack is the UBER for clouds, giving you access to numerous different decentralized clouds all competing with each other for your business in one simple place.
We look forward to providing more news and events to help build our community to be one of the strongest in all of the crypto sphere. Follow us at Coldstack to stay up to date on all developments by joining us on all social media.
Follow ColdStack
Official website: https://coldstack.io
Twitter: https://twitter.com/coldstack_io
Telegram: https://t.me/coldstackio
Medium: https://medium.com/coldstack
