By Tim Hakki
2 min read
Ethereum-based memecoin FLOKI mooned overnight, adding 62% to its value in the space of 24 hours, according to data from CoinGecko.
The impressive rally kicked off after Elon Musk tweeted a picture of his dog, who is also named Floki.
Historically, whenever Musk has tweeted about his longtime favorite cryptocurrency, Dogecoin, the original doge-inspired token, its price pumps. He even managed to crash DOGE’s price when he incorporated his love for the proof-of-work (PoW) coin into a sketch during his appearance on Saturday Night Live nearly two years ago.
Today, though, Dogecoin only rallied about 2.7% after the tweet. Shiba Inu (SHIB), another doge meme parody that often rises and falls in tandem with Dogecoin, also posted a relatively underwhelming overnight rally of 4.8%.
It may be too early to tell if FLOKI has replaced Dogecoin as the go-to memecoin to pump whenever Musk tweets about dogs, given that his latest tweet didn’t actually mention Dogecoin by name.
However, in the last 30 days, FLOKI’s price has mushroomed 418% compared to Dogecoin's meager 7% rise over the same period.
Just last month Floki DAO—a decentralized autonomous organization that takes collective decisions about the token—voted to burn (remove from circulation) almost 5 trillion FLOKI tokens, at the time worth $100 million.
The decision had no impact on the price or supply of FLOKI because the tokens were never part of the circulating supply. Instead, they were locked up in a cross-chain bridge linking Ethereum to BNB Chain.
They were seeded there to provide liquidity for transactions between the two blockchains.
The decision to remove the Ethereum–BNB Chain was taken amidst heightened security concerns about cross-chain bridges, which last year were the targets of huge hacks, including the historic Ronin bridge heist, where $622 million was taken from crypto video game project Axie infinity.
Then in October, thieves looted $566 million from a cross-chain bridge called BSC Token Hub.
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