Klaytn and Finschia KGP-25 Merger Proposal Passes Community Vote, Paves Way for Mainnet Launch
In Brief
Klaytn and Finschia announced the approval of the KGP-25 merger proposal that will now allow the entities to launch a unified mainnet.
Open source public blockchain Klaytn Foundation (KLAY) and Finschia Foundation (FNSA), which operates the open blockchain and Web3 business developed by Line Tech Plus, jointly announced the successful approval of the Klaytn and Finschia Mainnet Merge Proposal (KGP-25). The consensus was reached through the endorsement of both token holders and governance members, allowing two foundations to collaborate in establishing Asia’s most extensive Web3 ecosystem with the coordinated launch of a unified mainnet.
The merge proposal received substantial approval from governance members, with an impressive 95% in favor of Finschia and 90% in favor of Klaytn, paving the way for the integration of the two networks, resulting in a unified network boasting around 420 decentralized application (dApp) services and over 45 governance members.
Both foundations have outlined plans to create a task force responsible for integrating their respective chains, aiming to establish a unified foundation in Abu Dhabi, UAE, by the second quarter of 2024. Simultaneously, efforts will be directed towards setting up a singular governance structure designed to operate the unified mainnet efficiently. The mainnet will be designed to be compatible with both Ethereum Virtual Machine (EVM) and CosmWasm.
According to the announcement, the upcoming blockchain will incorporate a new set of tokenomics, consolidating KLAY and FNSA into a singular new coin. Eliminating uncirculated virtual assets is also part of the plan, aiming for a more streamlined system. Additionally, governance delegation and community participation will expand, enhancing transparency within the ecosystem.
Moreover, the projects have outlined intentions to foster innovation in the Asian blockchain industry through the creation of infrastructure to meet institutional demand, the introduction of native stablecoins, the provision of support for new businesses, and collaboration with partners.
Klaytn and Finschia Unveil “Project Dragon”
The entities revealed their intention to merge chains last month, consolidating under the “Project Dragon” integrated chain and its token PDT. The initiative aims to link Web3 assets from Kakao and Line Messenger, providing access to over 250 million potential Asian user contact points.
The integrated token PDT will bring forth a new tokenomics model involving a 24% burn of the existing issued volume and permanently removing uncirculated volume. This approach is designed to mitigate inflation, incorporating a 3-layer burn mechanism. Holders of KLAY can claim 1 PDT for every 1 KLAY, while FNSA holders can claim 148 PDT for every 1 FNSA.
Collaborative efforts between the Klaytn Foundation and Finschia Foundation, as evident in the approved merge proposal and introduction of “Project Dragon,” signify a pivotal step towards establishing a robust and innovative Web3 ecosystem in Asia.
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Alisa is a reporter for the Metaverse Post. She focuses on investments, AI, metaverse, and everything related to Web3. Alisa has a degree in Business of Art and expertise in Art & Tech. She has developed her passion for journalism through writing for VCs, notable crypto projects, and scientific writing. You can contact her at alisa@mpost.io
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Alisa is a reporter for the Metaverse Post. She focuses on investments, AI, metaverse, and everything related to Web3. Alisa has a degree in Business of Art and expertise in Art & Tech. She has developed her passion for journalism through writing for VCs, notable crypto projects, and scientific writing. You can contact her at alisa@mpost.io
