Burn 100 million OSMO—12.6% of the total supply. That’s a figure worth paying attention to.
Wu Blockchain reports that a proposal has appeared on the Osmosis governance forum. Community member JohnnyWyles suggests transferring 100 million OSMO from the community pool to a burn address. That’s about 12.6% of the current total supply of 794 million OSMO, worth approximately $5.8 million at the time. The proposal says some OSMO previously issued through inflation was allocated to the community pool, creating a “soft burn” that governance could reverse. This proposal would permanently burn 100 million of those tokens, removing the possibility of them re-entering circulation in the future. Afterward, the community pool is expected to hold about 19.3 million OSMO, along with other assets. Osmosis has long been one of the leading DEXs in the Cosmos ecosystem.
But don’t mistake the proposal for a done deal just yet. It is still in the discussion stage, with an on-chain submission targeted for October 30. Whether it goes ahead depends on a community vote, and the final amount burned could also be reduced. Scenario one: support rises once the proposal goes to a vote, while on-chain staking and trading volumes increase in tandem. Scenario two: enthusiasm builds during the discussion period, but the vote is delayed, prompting the price to rise on expectations before giving back its gains.
Which are you watching more closely: changes in support for the proposal, or the signals from staking and trading volumes moving together?
Source: Wu Blockchain
Image 1: Osmosis community proposal to burn 100 million OSMO · Screenshot of source page
Image source: https://www.wublock123.com/news/osmosis-proposal-burn-100m-osmo-12-6-percent-70799
Wu Blockchain reports that a proposal has appeared on the Osmosis governance forum. Community member JohnnyWyles suggests transferring 100 million OSMO from the community pool to a burn address. That’s about 12.6% of the current total supply of 794 million OSMO, worth approximately $5.8 million at the time. The proposal says some OSMO previously issued through inflation was allocated to the community pool, creating a “soft burn” that governance could reverse. This proposal would permanently burn 100 million of those tokens, removing the possibility of them re-entering circulation in the future. Afterward, the community pool is expected to hold about 19.3 million OSMO, along with other assets. Osmosis has long been one of the leading DEXs in the Cosmos ecosystem.
But don’t mistake the proposal for a done deal just yet. It is still in the discussion stage, with an on-chain submission targeted for October 30. Whether it goes ahead depends on a community vote, and the final amount burned could also be reduced. Scenario one: support rises once the proposal goes to a vote, while on-chain staking and trading volumes increase in tandem. Scenario two: enthusiasm builds during the discussion period, but the vote is delayed, prompting the price to rise on expectations before giving back its gains.
Which are you watching more closely: changes in support for the proposal, or the signals from staking and trading volumes moving together?
Source: Wu Blockchain
Image 1: Osmosis community proposal to burn 100 million OSMO · Screenshot of source page
Image source: https://www.wublock123.com/news/osmosis-proposal-burn-100m-osmo-12-6-percent-70799
