Ren Protocol Adopts Proposal To Mint 180 Million Tokens As Funding Capital
- The governance members of Ren voted to mint 180 million REN tokens.
- Following the failure of Ren’s major supporter, Alameda Research, last month, the tokens will be utilized as new funding to support a new Ren 2.0 protocol.
- The Ren team plans to transition to a new version of the protocol.
180 million REN tokens will be issued, as decided by the Ren Protocol governance members. Following the failure of Ren’s major supporter, Alameda Research, last month, they will be utilized as new funding to support a new Ren 2.0 protocol.
Alameda bought Ren Protocol in February 2021, but when it failed, Ren’s main source of funding was gone.
The team announced in November that it has decided to stop using its current protocol, Ren 1.0, and replace it with Ren 2.0, a new alternative controlled by the community. They asked for more funds in the form of brand-new REN tokens to pay for the transition to the second edition.
As Coincu reported, the Ren team suggested issuing new tokens as funding for the Ren 2.0 project. The proposal was posted on the Snapshot platform by the Ren Protocol for voting by governance members or current REN token owners.
Members were given four choices for the now-approved vote regarding the number of tokens to mint: 50 million, 100 million, 150 million, or 200 million. The suggestion may potentially have been rejected.
According to Snapshot data, the proposition was rejected by only 5.12% of voters. The option for 200 million tokens was chosen by 80.78% of voters. Only 1.08% of voters preferred 150 million tokens, 2.05% preferred 100 million tokens, and 10.97% preferred 50 million tokens. A weighted average of these findings indicates that 180 million Ren tokens will be produced, with a market worth of around $10.8 million.
The Ren Protocol team’s first action will be to approve the creation of additional tokens. The team intends to switch to a new protocol as a result of the mandate. However, implementing such a significant transformation has several dangers.
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