The OKB token from the OKX platform saw a notable price increase following the announcement of significant changes to its blockchain ecosystem and tokenomics.
Token Burn and Its Effects
The price of OKB rose from approximately $45 to $135 in a single day after news broke that OKX would permanently remove 65,256,712 OKB from circulation. This burn, which comes from historical repurchases and treasury reserves, will leave the total supply capped at 21 million tokens.
X Layer Upgrades and Performance Improvements
Alongside the tokenomics changes, OKX announced a significant upgrade to its public blockchain X Layer, powered by Polygon. This upgrade, completed on August 5, incorporates the latest Polygon CDK technology, boosting transaction throughput to 5,000 TPS, lowering gas fees to nearly zero, and improving Ethereum compatibility.
Chain Changes and IPO in the US
As part of the restructuring, OKX will phase out OKTChain, its EVM and IBC-compatible layer-1 chain. Trading of the OKT token will cease on August 13, with OKT periodically converted into OKB. Meanwhile, OKX is exploring a potential U.S. IPO following its relaunch in the country earlier this year.
The changes in tokenomics and enhancements in the OKX ecosystem indicate the platform's serious intent to strengthen its market position despite current regulatory challenges.
