In view of the imminent merger with Provable Things, Eidoo has decided to burn 80% of the EDO tokens in their possession.
The goal is to establish one of DeFi‘s largest DAOs, pNetwork, and to ensure that Eidoo has no influence or control over the DAO, 28 million EDO tokens will be burned, or about 80% of the tokens held by the company.
At the end of the month, the EDO token will become PNT, the governance token of the new pNetwork ecosystem, and the underlying open-source architecture that powers the pTokens solution.
PNT will play a key role in the maintenance and governance of the network, so in order to prevent a large amount of DAO governance tokens from being in the hands of the founding team, burning EDO tokens will ensure that this does not happen.
This also marks the start of a new phase for the EDO token economy, now becoming PNT. The upgrade of the token from EDO to PNT is supported by a number of exchanges that list it on their platforms, including Binance and Bitfinex.
pNetwork will be a cross-chain DAO with the governance token distributed over 7,000 addresses at launch, making it one of the most popular in the world.
At launch, the new PNT governance token will have a circulating supply of just under 60 million units.
The Eidoo token will in fact have a new use case that will extend its usefulness, as it will become the fuel for a wider range of services within the new pNetwork ecosystem.
In fact, those who will hold the PNT tokens will be able to join the pNetwork DAO to play a role in the governance of this system at the basis of the pTokens. PNT token holders will be able to vote on various proposals for improvement and development, such as which new pTokens should be developed.
The CEO of Eidoo, and member of the main development team of the pTokens project, Thomas Bertani, said:
“Provable Things and Eidoo are subsidiaries whose teams have always worked closely together to contribute to the overall development and growth of the decentralized financial sector.
While the pTokens solution was initially developed by the Provable team, we want to hand over control of the project to the wider community, achieving a truly decentralized system of governance and distribution of token holdings. With Eidoo burning its majority stake in PNT, all decisions voted on using the pNetwork DAO will be truly democratic”.