DeFi platform Cream Finance’s team announced that it will destroy 67.5 percent of the CREAM supply. After the development, the price increased by 150 percent.
The team of DeFi platform Cream Finance (CREAM) announced that they will destroy 67.5 percent of the token supply today, in an unprecedented decision.
In total, 6 million 75 thousand CREAM tokens will be destroyed, and this amount will include 100 percent of management tokens and 75 percent of seed tokens.
The team claims that this process will provide more clarity to token holders and ensure the long-term success of the project. The statement said:
“Tomorrow, on September 20, CREAM will continue on its way by burning 6 million 75 thousand CREAM tokens or 67.5 percent of the supply. This burning process will include 100 percent of management tokens and 75 percent of seed tokens. We believe this move will provide a stronger foundation for the long-term success of the project while providing greater clarity to existing token holders.
A detailed breakdown of the amount of tokens to be destroyed by the Cream Finance team is summarized with the following table:
It is important to note that none of the CREAM tokens to be burned will be from the current 149,928 CREAMs in circulation. The transaction is done to reassure CREAM holders that the token value will not be reduced by oversupply.
150 percent increase in a few hours
The decision made by the team had a huge impact on the price of CREAM. Each CREAM traded at $ 67 before the announcement, and then surpassed $ 167. This means a 150 percent price change within a few hours. CREAM is traded at $ 165 in the minutes of the news.