LINE's public blockchain Finschia proposes merging with Klaytn's mainnet and will issue a new coin "PDT".

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Communication software giants LINE and Kakao have respectively proposed the merger of their public chains Finschia and Klaytn, emphasizing that they will become the mainstream public chain in Asia and achieve explosive growth in the Web3 field.

LINE's third-generation blockchain mainnet "Finschia" is officially launched! Transaction speed is 400 times faster than Ethereum

Finschia and Klaytn Mainnet Merger Proposal

According to an announcement by Finschia, Klaytn and Finschia have concurrently released a governance proposal with the voting period scheduled from 13:00 on January 26 to 13:00 on February 2 (Taiwan time).

Integration of Two Major Messaging Apps, LINE and Kakao

It claims to integrate two major messaging apps, LINE and Kakao Messenger, including over 420 DApps and services, to establish the largest Web3 network in Asia.

The merger will enable the realization of Finschia's NFT, payment, AI services, enhance interoperability between Klaytn in DeFi and gaming services, and allow tokens to be used on LINE and Kakao.

Issuance of New Coin PDT

Both will jointly issue a new coin tentatively named PDT, where FNSA and KLAY holders will be able to claim the new tokens.

There will be differences in the token economy. After the new coin swap is completed, approximately 24% of the unreleased and existing circulating PDT tokens will be burned, reducing the inflation rate to 5.2%, and introducing a new three-tier burning mechanism.

KLAY holders will have a 1:1 exchange ratio, while FNSA holders will have approximately a 1:148 ratio.

Based on Cosmos Technology, Integration with Ethereum EVM

The new chain will be compatible with Ethereum, and the announcement claims that there will be over 45 companies participating in governance, making it the largest Web3 governance ecosystem in Asia.

If the proposal is approved, it is expected that the new coin swap and governance integration will commence in Q2 of this year. The official statement claims that this merger signifies the birth of the largest blockchain ecosystem in Asia and will accelerate the widespread adoption of Web3 in Asia.