IOV Token “Burn” — 2 of 6
The proposal for our second burn will be submitted today
Following up on the token burn plans already mentioned in this article and during our monthly community calls, the time has come for the second event of this nature. You can consider it as a sort of Easter fire. 🐰🔥
As part of our tokenomics modernization and similar to what happened last month, today another proposal to “burn” — so to send IOV tokens from the community pool to the address 0x0, where they can’t be spent or delegated — will be submitted.
The dynamics of this burn will be just like last time, with a slight difference: this time we will need community participation from the very beginning.
What does this mean?
Well, in order to make the proposal pass to the voting phase, we will need the community (either via Ledger+Big Dipper or using the command-line) to make the proposal deposit reach a minimum amount of $IOV established for making it a valid proposal. This minimum amount is a requirement to avoid spams and also to express the interest the community sees in the proposal.
How does the governance/voting process happen?
- ✉️ Proposal submission: the proposal is submitted with an initial deposit made by the proponent and needs to reach a minimum amount (1000 $IOV) to be validated to be voted on. Once this phase starts, it lasts 2 days.
This minimal amount is reached by community deposits and is a condition to make the proposal votable.
The deposits are kept in an escrow until the proposal either passes (voting period starts) or is rejected (the proposal is closed). - 🗳 ️Voting period: Once the deposit reaches the minimum amount required, the proposal is confirmed and the voting period opens.
Bonded $IOV holders can then vote on the proposal. Delegators will have 4 days to vote on the proposal and can submit their votes using their Ledger via the Big Dipper block explorer, Cosmostation mobile app, or the Keplr browser extension. - 🥁 Results: The proposal will have to pass in order to trigger the effective burn of the tokens.
For further information about how to vote, make sure to take a look at the second part of this other article in which our CTO, Dave Puchyr, explains step by step how you can do it using Ledger, Cosmostation app or Keplr Browser Extension.
