Validators on The Open Network (TON) are planning to suspend inactive addresses that hold more than a billion Toncoin, equivalent to 21.3% of the total supply. The tokens are valued at around $2.5 billion at the current prices.
TON validators could suspend crypto wallets
TON network validators are exploring plans to suspend 195 inactive wallet addresses on the blockchain. These addresses hold more than one billion Toncoin, with a vote on their suspension scheduled to commence on February 21.
The vote will only pass if 75% of the validators agree to the decision by participating in multiple voting rounds. If the validators agree to the suspension, these wallet addresses will be suspended from the platform for four years. The wallet addresses will no longer settle transactions after the suspension is effected.
The list of the suspended wallet addresses will be published on the public blockchain. The wallet addresses that the TON validators are classifying as inactive are the ones that participated in the initial distribution phase for the project between July 2020 and June 2022. These wallets have never transacted since the initial distribution.
In December last year, the TON community requested the owners of the affected wallet addresses to demonstrate their commitment to the network by making one transaction on the blockchain. The inactive wallet addresses that have failed to make a transaction still have a chance of doing so before the voting process ends to avoid suspension. This vote will not affect the inactive wallet addresses that did not participate in the initial distribution phase.
TON used a distribution strategy that differs from the centralized mechanisms usually used by crypto project development teams. The strategy used by TON was created to make the distribution process more decentralized while ensuring TON continues to run as a proof-of-stake blockchain.
Suspending wallets to strengthen tokenomics
The TON Foundation issued a statement saying that this initiative was proof of the benefits of maintaining transparency within the TON community. The foundation added that if these inactive wallet addresses are suspended, it will shed more light on the actual volume of Toncoin in the circulating supply.
The suspension would also boost the growth and success of the active community that relied on the network. Tokenomics play an important role in determining the success of a crypto project, and clarity on toncoin’s supply could benefit the network.
The Open Network has emerged as a leading blockchain in the market. The network was created as a project for the Telegram messaging platform. However, regulatory attention forced the founders of Telegram to hand the project to the TON community, which is now involved with the development.
The TON token has gained by around 1% in the last 24 hours, showing that the news of the improved supply triggered by the suspension of these wallet addresses is yet to be priced in. However, TON is actively growing the network after releasing a decentralized file-sharing solution known as TON Storage.
- Best Crypto Signals Telegram Groups – Get Free Signals Today
- Toncoin Price Prediction – Time to Buy Telegram TON Coin as it Jumps 10% to $1.64?
- Telegram Discloses Details of Pirating Users Following Court Order
FightOut - Next 100x Move to Earn Crypto
- Backed by LBank Labs, Transak
- Earn Rewards for Working Out
- Level Up and Compete in the Metaverse
- Presale Live Now - $1M+ Raised
- Real-World Community, Gym Chain