FLOKI worth $2.4 trillion staked in 3 months: What’s going on?
- The staked amount was nearly 25% of FLOKI’s circulating supply.
- Over $350 million worth of TOKEN has been staked.
More than $2 trillion worth of Floki [FLOKI] tokens have been deposited on the platform’s staking program in less than three months since it went live.
Users stake FLOKI for yields
AMBCrypto tracked Floki’s official staking portal and noticed around $1.4 trillion deposited on Ethereum [ETH] and a trillion locked up on the BNB Chain [BNB].
The staked amount equated to nearly 25% of FLOKI’s total circulating supply, meaning that a sizable chunk of the meme coin now lies off-limits for market traders.
The mad rush to stake coins was driven by Floki’s new asset tokenization platform TokenFi [TOKEN]. The sister project was launched to capture a slice of the growing industry which involves representing real-world assets as tokens on a blockchain.
The market was anticipated to expand to $16 trillion by 2030.
When users stake their FLOKI tokens, they earn TOKEN as a reward. In fact, more than half of TOKEN’s supply was reserved for those who stake their FLOKI tokens for a minimum duration.
The longer the staking duration, the higher the annual percentage yield (APY) earned. As of this writing, the staking APY for three months was 28.66%, increasing to as much as 91% for a locking period of four years.
Source: floki.com
TOKEN also gets locked up
To multiply their yields, users were seen depositing their TOKEN holdings into a separate TokenFi staking program.
According to latest stats analyzed by AMBCrypto, over $350 million worth of TOKEN has been staked, accounting for more than 24% of the coin’s circulating supply.
Like its sister coin, TOKEN also appealed to users because of the high rewards. The staking APY for locking TOKEN for four years was nearly 79%.
Source: tokenfi.com
Prices tell a different story
Though both assets scored high on the staking front, the market value didn’t seem to capture this rise.
FLOKI lost as much as 21.22% over the past month and around 11% since the start of 2024, according to CoinMarketCap.
How much are 1,10,100 FLOKIs worth today?
TOKEN narrated the same story, as it too dropped more than 21% over the month.
While it was still early days, the TokenFi factor had the potential to bring a significant chunk of FLOKI’s liquid supply into staking. This could also help in reducing the asset’s volatility, the infamous label attached to meme coins.
