Klatyn and LINE-backed Finschia propose blockchain merger
Klaytn Foundation and Finschia Foundation announced a proposal to merge their blockchains — aiming for web3 dominance in Asia.
Klaytn Foundation and Finschia Foundation said in a joint statement today that they intend to form a new blockchain supporting both EVM and CosmWasm frameworks. The two foundations will also merge into one organization — if the proposal is approved.
The pair noted that the new mainnet will inherit Klaytn’s integration with KakaoTalk and Finschia’s integration with LINE — serving a user base of over 250 million digital wallets with more than 420 decentralized apps, according to the statement. Kakao and LINE are both prominent messaging platforms across Asia.
“With access to every Kakaotalk and LINE user, the new public blockchain will also act as a springboard for Asia's IT and entertainment enterprises,” the companies said.
The voting of the potential merger is set to take place from Jan. 26 to Feb. 2.
The potential for a new token
The companies also proposed a new token to replace the existing KLAY and FNSA +22.80% , the native coins of the combined blockchains. Holders of both coins will be able to swap for the new coin upon issuance, according to the statement.
Following the announcement of the potential merger, the price of KLAY jumped 31.8% over the past 24 hours to $0.25 at 2:20 p.m. Hong Kong time, according to The Block’s price page . FNSA climbed 22.6% to trade at $34.74, the data showed.
“Drawing on the combined experience of both foundations, the proposed tokenomics for this new native coin will focus heavily on delivering sustainable value creation,” the companies said. “This will be achieved via a lower base inflation rate and a 3-layer burning model designed to drive the coin towards deflation as network activity increases.”
The foundations explained that they plan to burn 24% of the new coins issued to “implement Zero Reserve Tokenomics.”
“We are excited to be taking the first step toward unlocking the enormous synergy of merging the public blockchains started by Kakao and LINE, which are both leading IT companies in Asia,” the foundations said.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
The Capital Trends Behind the AI Computing Power Rebound: JPMorgan Fund Flows Reveal Retail Buy-In "Shrinking," Pouring Into Nvidia, SanDisk and Other Computing Power Core Companies
What has been revealed is not a "complete withdrawal of retail investors from AI," but rather a significant slowdown in overall market entry pace under macroeconomic pressure, with stock selections becoming more concentrated. In response to the Federal Reserve's unanimous decision to raise interest rates by 25 basis points, increasing the policy rate to 3.75%–4.00%, JPMorgan's assessment is: if this is simply a withdrawal of last year's "insurance-style rate cuts" during a shallow rate hike cycle—and if corporate earnings remain strong and the Middle East situation does not further spiral out of control—the stock market is still capable of absorbing rising interest rates.
Vote Result 7-2! Bank of Japan Raises Interest Rates at Fastest Pace Since 1990, Does Not Signal a Clearly More Hawkish Stance
The Bank of Japan has raised interest rates to 1.25%, marking the highest level since 1995 and the sixth increase since exiting the negative interest rate policy in March 2024. Out of the nine committee members, Asada and Sato voted against the hike, citing the current economic situation, reflecting ongoing internal disagreements over further tightening. In its statement, the Bank of Japan indicated it will continue to raise rates and adjust the degree of monetary easing, but the forward guidance language showed limited changes from the July statement, without sending notably more hawkish signals.
Crypto prices
More
