The Wemix blockchain, developed by South Korea-based gaming company, has made a significant decision to halt block rewards for its WEMIX token, which had a market value of $2.6 billion at the time of the announcement. This move is set to impact the total supply of WEMIX tokens in the market.
According to an announcement made on January 9, the total supply of WEMIX will either remain constant or be reduced until the second quarter of 2024. Previously, the WEMIX token had an annual inflation rate of 3.15%.
The Wemix team is committed to creating a deflationary economy within its ecosystem by eliminating block rewards and token burning associated with transaction fees. Instead of block rewards, the Wemix Foundation will distribute WEMIX tokens as incentives to the community and decentralized application developers.
This token distribution initiative can be sustained by the team for approximately 20 years. As a result of changes in block rewards, developers may consider a fork update for the Wemix blockchain network.
Additionally, Wemix’s parent company Wemade, known for creating the popular Legend of Mir series, has partnered with Whampoa Digital to launch a $100 million Web3 fund focused on investing in crypto asset projects in the Middle East. The gaming sector within the Web3 space continues to grow rapidly, with increasing interest from both major Web2 companies and users, signaling potential significant developments in the GameFi sector by 2024.