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Zilliqa: the burning of the ZIL coins has begun

en.cryptonomist.ch 12 October 2020 22:50, UTC
Reading time: ~2 m

As announced by the President of Zilliqa himself, Amrit Kummer, the team is starting the burning process for the ZIL coins

🔥 news: Around 35k $ZIL is being "burnt" (put out of immediate circulation) every 1.5 hours on the mainnet. Volume of transactions per day is seeing an uptick. More transactions => More 🔥.

— Amrit Kummer (@maqstik) October 12, 2020

As many as 35 thousand ZIL tokens will be burned every 1.5 hours from the network. For every transaction that will be made a token burning will take place.

The Zilliqa blockchain uses a system similar to PoS (Proof of Stake), which is a hybrid consensus protocol system that is a mix of PoW (Proof of Work) and PBFT (Practical Byzantine Fault Tolerance).

Before proceeding with the news it is necessary to make some clarifications, as in this case there is no traditional burning, instead transaction fees are diverted directly to the mining reward address. In fact, the total supply of Zilliqa is 21 billion and more than half is already in circulation.

This gives a different approach to the tokenomics of this blockchain, not least because with the advent of staking the percentages between miners and staking nodes are recalibrated from 95 – 5 to 60 – 40. In this way, all blockchain players can be satisfied without too many disparities.

What’s new in Zilliqa besides burning

In a couple of days, the staking system will be launched for all users and they will be able to reap the benefits of their tokens simply by delegating them to the various staking nodes in order to obtain an APR proportional to the amount of supply staked.

The Zilliqa blockchain is certainly making great strides in this panorama, also because it has recently launched its decentralized exchange system called ZilSwap in which it is possible to list newly created tokens.

Thus the ZIL blockchain has opened up to decentralized finance (DeFi) or, as the Zilliqa team says, to Open Finance (OpFi) as a way of connecting all users around the world.

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