THORChain proposes burning $300m in RUNE to ‘scale lending’
Developers of THORChain have unveiled a community proposal to burn around $300 million worth of RUNE tokens to boost lending activity. In a community proposal published on Jan. 30, the THORChain developers suggested burning 60 million RUNE tokens (worth around $300 million as of press time) from the Standby Reserve fund, representing a 12% of the max supply of RUNE. The move, according to the initiative’s description, is set to make room for more loans on THORChain. “By burning ~$300 million in RUNE from standby, it means THORChain can onboard another $100 million in Collateral (33% Lending Lever), which is a $50 million in market-buy on RUNE (200% collateralization ratio).” THORChain A THORChain developer under alias @Pluto9r said in an X post that with the proposal, the project has a “real shot at being the world’s deepest BTC pool,” urging the community to support the proposal. I see it as doubling down on our moat, which is providing $BTC hold...