Lisk DAO to determine the fate of 25 of LSK tokens
The Lisk community stands at a pivotal juncture, poised to cast a vote that could lead to the incineration of 100 million LSK tokens, marking a significant milestone for the nascent decentralized entity.
From **September 27**, Lisk’s stakeholders will deliberate over a seven-day period on the proposition to either annihilate 25% of the total LSK token supply or to earmark these tokens for communal incentives stretching to the year 2033.
In an announcement disseminated to crypto.news, the Lisk collective disclosed that this poll represents the inaugural significant decision for the Lisk DAO, a decentralized autonomous organization that has recently transitioned to the Optimism Superchain. This strategic move aims to streamline access to Lisk’s offerings within the Ethereum network’s broader ecosystem.
Should the consensus lean towards a token burn, Lisk’s circulating supply will contract to 300 million tokens, a reduction from the present tally of 400 million. In contrast, a decision to allocate the tokens would see them infused into the Lisk DAO Fund over a span from 2027 to 2033, empowering the community to spearhead initiatives, bolster growth endeavors, and underwrite avant-garde projects for the forthcoming era, as per the press briefing.
Dominic Schwenter, the Chief Project Officer of Lisk, underscored the Onchain Foundation’s (previously known as the Lisk Foundation) abstention from the voting process, a move designed to guarantee impartiality and community-centric governance.
Tracing its origins to 2016, Lisk divulged its migration strategy in the waning months of 2023. A blog entry from that period articulated the imperative to refine the Lisk ecosystem and recalibrate the network—originally conceived as a layer-1 blockchain—to enhance cost-efficiency for its user base and developer community.
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The Lisk platform has recently captured the community’s gaze, witnessing a notable 51% uptick in value.
