Bonk Rockets lead dog meme rebound with 30%. Floki is called a “utility token” by the CFTC

Solana-based Bonk (BONK) on Saturday saw a rally above $98,000, a day after Friday's debacle that pushed Bitcoin to nearly $93,000. Led the growth within the company.

According to data from CoinGecko, BONK soared 30%, while Dogecoin (DOGE), Shiba Inu (SHIB), Dogwifat (WIF), and Floki (FLOKI) soared 20%. The dog-themed token category has averaged an 8% rise over the past 24 hours, outpacing the 4.5% rise in the broader market tracked by the broad-based CoinDesk 20 (CD20) index.

Memecoins are known for their high volatility and tend to outperform major tokens during price increases, acting as a leveraged bet on overall crypto market sentiment.

However, in this case, fundamentals have helped restore gains and sentiment for some meme coins. FLOKI was named as a utility token at last month's Commodity Futures Trading Commission (CFTC) meeting, along with Ether (ETH) and Avalanche's AVAX.

The derivatives regulator has proposed a new class of assets called utility tokens at the Global Market Advisory Committee (GMAC). The token meets six criteria, including providing holders with “immediately available and non-incidental consumptive use” on the crypto platform without “governance and control”. Ability to vote. ”

“FLOKI was recently highlighted by the CFTC’s Global Market Advisory Committee as a case study in utility tokens. This is a great deal and confirms Floki’s utility-first approach,” said B., Lead Developer at Floki. he told CoinDesk in a Telegram message. The game is scheduled to be released in early Q1 2024, and the recently released Floki Trading Bot has generated over $1 million in fees.

“This puts Floki on a completely different level than other meme coins, especially when the market turns around and people start paying attention to fundamentals again,” B added.

Elsewhere, a number of activities aimed at curbing the supply of tokens among users have drawn attention to BONK, a move that has historically contributed to soaring prices.

BonkDAO, a decentralized group of Bonk believers who maintain the tokens, burned 100 billion tokens from the circulating supply in November, with a goal of burning 1 trillion tokens in December. This could increase the value of the token due to scarcity.

Observers say the feat could be accomplished within weeks.