If approved, the 300 million token reduction, worth $1.074 billion, will take effect on Jan. 4, 2024.
Developers of decentralized exchange (DEX) PancakeSwap are looking to slash the maximum supply of its ecosystem token, CAKE, from 750 million to 450 million. CAKE tokens currently trade at $3.58 at the time of writing.
According to a Dec. 28 announcement, the voting proposal for the 300 million token reduction will last 24 hours. If approved, the proposal will take effect on Jan. 4, 2024.
“Now that CAKE has achieved consistent deflation for several months and is focusing on accelerating the journey to ultrasound CAKE, the proposal aims to reduce the CAKE token’s total supply,” developers wrote while noting that the new proposal will better align CAKE with its current circulating supply of 388 million.
