Token Burn — The Future of IDO Launchpads
FireStarter in the DeFi Landscape
🔥 FireStarter is working towards a long-term investment ecosystem
🔥 Token Burn increases scarcity, value, and long-term stability
🔥 $FLAME utilizes Token Burn to achieve stability for new users
Pump and dump. Short selling. Bag holding is for suckers. This notion that IDO’s and crypto are not good long-term investments is FUD at the highest degree. While ICOs and IDOs have historically been synonymous with quick profit schemes, FireStarter aims to deter these tendencies by implementing a concept called Token Burn. A deflationary measure that benefits those who hold by permanently removing some tokens from circulation, thus increasing scarcity.
While FireStarter will be one of the first launchpads to incorporate this concept, Binance, Ripple, and USDT are great examples of projects utilizing this economic model. As shown below, the process of a Token Burn can have a massive effect on token price.
Token Burning can be done in several ways, most commonly by sending the coins to a so-called “eater address.” This means that its current balance is publicly visible on the blockchain, but access to its contents are unavailable to anyone. You can track the decrease of total $FLAME supply via the FireStarter public smart contract.
As explained in this Forbes article:
“When you see that a crypto company is using burning techniques to increase value, you’ll know it’s nothing to do with actual fire, but actually a clever way to reduce the number of tokens available on the open market, and thus increase the value of the token for investors.”*
The adoption of deflationary measures by Launchpads has been slow but not without traction. Those who utilized have seen great results in terms of economic stabilization and long-term ROI. As these principles are built into the core of FireStarter and $FLAME, providing a stable market for the rising demands of a new user base is an easy task.