Key investors including Kenetic (Hong Kong/US) and Aves Lair (New York) demonstrate long-term commitment through revised tokenomics
Flare Network's pioneering investors have solidified their support for the "Blockchain for Data" by implementing strategic changes to their investment terms. This move reinforces confidence in Flare's vision while creating sustainable growth mechanisms for the ecosystem.
Revised Token Vesting Structure
The investor group has established a binding agreement featuring four core components:
Extended Vesting Period
- Total FLR allocation remains unchanged at 2,107,867,284.31 tokens
- Distribution timeline extended from 2024 through Q1 2026
- Initial February 2024 distribution reduced to 813,870,745.01 FLR (68% reduction in upfront tokens)
Controlled Market Impact
- Strict sales limit of 0.5% of 30-day average daily volume
- Designed to minimize volatility and provide market clarity
Ecosystem Reinvestment Commitment
- 50% of all token sale proceeds through January 2026 will be reinvested
- Estimated $35M in potential ecosystem funding at current valuation
- Funds allocated across critical DeFi infrastructure and applications
Transparent Accountability
- Programmatic monitoring of compliance
- Binding adherence to all commitments
Strategic Ecosystem Impact
This capital will accelerate development across Flare's decentralized financial infrastructure:
👉 Discover how Flare is revolutionizing blockchain data
Key focus areas include:
- Next-generation lending protocols
- Cross-chain interoperability solutions
- Advanced decentralized trading platforms
- Innovative stablecoin mechanisms
- Cutting-edge synthetic asset platforms
Complementary Tokenomics Updates
These changes build upon Flare's October 2023 token burn initiative:
- Original 3.2B FLR allocation reduced to 3.1B (3% of total supply)
- 400M FLR already burned
- Ongoing monthly burns of 66M FLR through January 2026
Frequently Asked Questions
Q: How does this benefit existing FLR holders?
A: The extended vesting reduces immediate sell pressure, while reinvestment drives ecosystem value - creating a virtuous cycle for all participants.
Q: What types of projects will receive funding?
A: Priority given to protocols enhancing Flare's core capabilities in data, DeFi, and cross-chain functionality.
Q: How are investors held accountable?
A: Binding contractual obligations with programmatic monitoring ensure compliance with all terms.
Q: Does this affect Flare's total token supply?
A: No, this modifies distribution timing rather than overall supply, which was previously addressed through the burn mechanism.
👉 Explore Flare's evolving tokenomics framework
Q: What's the long-term vision behind these changes?
A: Aligning investor incentives with network growth to position Flare as the premier blockchain for data-intensive applications.
The revised terms demonstrate how blockchain projects can collaborate with early supporters to create sustainable economic models that benefit all stakeholders while advancing technological innovation.