At press time, IOTX was trading at $0.0261, up 1.02%.
The recently passed proposal will introduce ether liquid staking derivatives.
The proposal also adds native support for representing staking buckets as NFTs on IoTeX.
The IoTeX governance community has voted for the 13th improvement proposal (IIP-13) which among other things introduces Ether liquid staking derivatives. 97% of IOTX token holders participating in the vote voted in favour of the proposal.
IoTeX (IOTX) price reacted to the development by turning bullish after three days of a bear market. The token is now trading at the same level where it was trading on March 18.
What the IoTeX IIP-13 proposal introduces
To start with, 141 million IOTX tokens were staked in favour of the IIP-13 proposal, which considerably increases the IOTX staking ratio and enhances network security since it has increased the number of validators on the blockchain.
The IIP-13 proposal also adds support to represent staking buckets as NFTs to allow liquid staking protocols to manage their stakes using smart contracts. This will allow dApp developers to easily and quickly launch liquid staking dApps and improve the network’s use cases and also contribute to the value proposition of the IOTX token, which the top 10 richest IOTX addresses hold 89.87% of all available token supply according to data from CoinLore.
Prior to the passing of the proposal, staking on IoTeX was done directly on the network without connecting to smart contracts. Introducing liquid will among the many mentioned things also place the IoTeX blockchain among the leading DeFi protocols.
Some of the liquid staking protocols like Lido have performed so well this year with its native token, the Lido DAO (LDO) price appreciating by more than 200% in the last three months.