Floki developers have launched a Telegram-based trading bot for FLOKI holders on the BNB Chain network. This new tool is designed to increase demand for FLOKI tokens and contribute to buying pressure with a 1% fee on transactions, half of which will be used to buy FLOKI on the open market.
Launch and Features
Floki developers introduced the trading bot in a Telegram interview with CoinDesk. Initially, the bot will be available to a small number of users during a beta testing period to identify and resolve any technical issues. Public availability is expected in mid-June. The service will later be expanded to the Ethereum and Base blockchains.
The bot charges a 1% fee on every transaction, with 50% of the collected fees used to buy FLOKI on the open market. This mechanism is designed to increase the demand for FLOKI tokens, as users will need to hold the coin to utilize the bot.
Utility and Ecosystem Integration
The trading bot is the latest addition to a suite of utility tools and a metaverse that are part of the Floki ecosystem. Initially launched in 2021 as a meme coin themed after the Shiba Inu dog breed, FLOKI has rebranded as a utility token that powers Floki-based protocols and products.
Popularity of Telegram-Based Trading Bots
Telegram-based trading bots have gained popularity since early 2023 with the launch of Unibot. These bots allow users to trade tokens as easily as they can chat on the messaging app. The convenience of these products appeals to users who find decentralized exchanges like Uniswap cumbersome due to login requirements, high fees, and the need for cross-checking token information.
Other meme coin projects, such as Solana-based Bonk (BONK), have also launched their own trading bots, which have proven popular within their communities. Bonk’s BonkBot was responsible for up to 70% of all on-chain trades on Solana at one point, contributing over $1 million in buying pressure to BONK monthly.
Market Impact
Following the announcement, FLOKI prices have surged 17% in the past 24 hours, while the broad-based CoinDesk 20 (CD20) has gained 0.27%. This increase in value highlights the positive market reaction to the new trading bot and its potential impact on the demand for FLOKI tokens.
The introduction of the new trading bot by Floki developers represents a strategic move to enhance the token’s fundamentals and increase its demand. By leveraging the convenience of a Telegram-based platform and integrating it into the broader Floki ecosystem, developers aim to drive further adoption and growth for FLOKI tokens.
