By
Mayowa Adebajo
April 26th, 2024
Floki’s team of developers have their eyes set on capturing a significant percentage of the global asset tokenization market.
Popular meme coin FLOKI was first introduced in 2021 after being originally inspired by Elon Musk’s pet Shiba Inu. Since then, it has gone on to establish itself as a major decentralized finance (DeFi) project. For context, the coin is currently seeing tremendous activity with over $55 million worth of FLOKI held up on the blockchain’s staking platform within a week after launching the program.
While this was a bright start and a milestone for the weekly staking Total Value Locked (TVL), it also means that a total of 1.8 trillion FLOKI tokens have now been staked on the program. That is nearly 18% of the token’s circulating supply, which currently stands at 9.5 trillion, per CoinMarketCap data.
Meanwhile, expectations are that the numbers will continue to grow over the coming years. The first indicator of this is that the majority of the FLOKI tokens have been staked for as long as four years. So, they will continue to be out of circulation in that period. Also, more traders are expected to join the trend because of the opportunity to earn annual rewards of up to 120%.
The yields will range anywhere between 51% to over 165%. However, that would depend on the time that those tokens are locked.
FLOKI Eyes Tokenization Market
It might be worth noting that Floki’s team of developers have their eyes set on capturing a significant percentage of the global asset tokenization market. According to the team, the tokenization market is fast-growing and should hit $16 trillion in the next seven years.
So, as part of its ambitions, Floki has floated a new product in its ecosystem. Towards the end of October, it introduced TOKEN, a look-alike project that allows users to tokenize real-world assets (RWA).
Now, here is where the staked Floki will serve a purpose. The staked Floki will be used to reward holders with TOKEN.
Users can also acquire TOKEN from any decentralized exchanges where they see that its market capitalization has hit $40 million. However, at least half of its total supply would only be accessible from staking FLOKI.
According to the team, there will also be additional incentives for users who launch their tokens or smart contracts on the protocol. To do this, a certain percentage of TokenFi tokens will be earmarked daily to be shared with users according to the degree to which they use the protocol. And, ultimately, the daily reward is expected to lure even more users to the platform.