Flare Network Achieves Cumulative Burn of 1 Billion FLR Tokens

Flare Network marks a significant milestone by burning over 1 billion FLR tokens, enhancing its value and scarcity.

Learn about the strategy behind these burns and explore how FLR holders can benefit from FTSO and FlareDrop rewards, contributing to the cryptocurrency's appeal and long-term viability.

Flare Network Announces Significant Burn Event

On May 8, 2024, Flare Network (FLR) announced that it has reached a significant milestone by burning approximately 66 million FLR tokens. This latest burn event has brought the total number of burned tokens to a staggering 1 billion.

The term "burn" refers to the act of transferring cryptocurrency to an inaccessible wallet, rendering it permanently unusable. This practice reduces the circulating supply of the cryptocurrency, potentially increasing its scarcity and value.

Flare Network's Ongoing Burn Strategy

In October 2023, Flare Network disclosed a plan to burn approximately 2% of the FLR's total supply, which amounts to 2.1 billion FLR. Initially, about 200 million FLR tokens were burned, followed by a consistent monthly burning of about 66 million tokens.

This burn is part of a broader initiative aimed at strategically reducing the total circulating supply of FLR, thus contributing to its scarcity and potential appreciation in value.

The report also includes details about the burns related to transaction fees, unclaimed FTSO rewards, FlareDrop, and tokens burned in support of initial improvement proposals.

Understanding FTSO and FlareDrop Rewards

FTSO rewards are earned through staking, while FlareDrop refers to the monthly free distribution of FLR tokens.

FLR holders can transfer their tokens to self-managed wallets like the Bifrost Wallet, convert FLR to WFLR, and delegate to the Flare Time Series Oracle (FTSO) to receive both FTSO and FlareDrop rewards.

The 15th FlareDrop is scheduled to occur on May 10, 2024, following a predefined schedule. Additionally, services such as "wrap & delegate" are offered by multiple domestic exchanges, including SBI VC Trade and Bitpoint, facilitating participants in receiving their FlareDrop rewards.