Mantle Network, steered by its DAO, has thrown a curveball into the crypto sphere. They’ve proposed a significant change concerning migrating BitDAO (BIT) tokens to Mantle (MNT) tokens. This is all part of the ongoing merger dance between the two projects.
Here’s the tea: Mantle’s community believes that the BIT tokens held by FTX should only partially morph into its new MNT token. Why? The proposal suggests hitting the pause button on the current migration contract and rolling out a new one to put some reins on FTX.
But why this sudden change of heart? The proposal, penned by community member Cateatpeanut, states that the BIT tokens in the hands of the embattled FTX Group shouldn’t be a shoo-in for conversion. Some disqualifying factors are at play, and there’s no guaranteed migration ticket from BIT to MNT. The on-chain migration contract’s already on a break, waiting for this chat to wrap up and the subsequent vote.
Backstory: Mantle Network and BitDAO announced their merger plans in May. BitDAO, if you didn’t know, is a decentralized autonomous organization with one of the fattest treasuries in crypto, currently valued at a whopping $3 billion. As part of this merger waltz, BitDAO’s governance token, BIT, is switching gears to Mantle, now going by the MNT ticker.
The plot thickens when you bring FTX Group into the mix. Alameda Research, an FTX Group company, swapped an astounding 3.4 million of FTX’s FTT tokens for a staggering 100 million BIT tokens in a deal with BitDAO in 2021. Based on today’s valuation, these tokens had a price tag of around $43 million. But here’s the kicker: Alameda had to prove they still had those 100 million BIT tokens after rumors swirled that they’d sold them, breaking a three-year lock-up agreement. And all this drama unfolded just days before Alameda, and FTX declared bankruptcy.
The Mantle community’s been vocal about this. FTX’s challenges shouldn’t spill over and affect the broader investor community. One community member even predicted this might be the first proposal in Mantle that everyone agrees on.
Mantle’s making waves, ensuring they navigate the merger with BitDAO smoothly while also addressing the concerns surrounding FTX and Alameda.
