Sanctum Seeks to Burn CLOUD Tokens and Renounce Ticker
Sanctum, a Solana-based liquid staking protocol, has proposed burning its entire Community Reserve of 259 million CLOUD tokens. The move aims to eliminate roughly 25% of the token's total supply, reducing it from 1 billion to approximately 741 million.
The proposal, known as CLOUD-008, was submitted on September 2 and is set to be decided through a futarchy-style decision market within Sanctum's MetaDAO framework. The protocol has seen significant growth, climbing to the top of Solana's Total Value Locked rankings with around $1.93 billion locked.
The timing of the proposal is linked to the conclusion of Sanctum's Active Staking Rewards program in August 2026. With only about 48 million tokens from the reserve ever distributed since genesis, the remaining Community Reserve had become an awkward surplus. Investor feedback highlighted supply concerns as a drag on market prospects.
The burn would remove the full reserve category rather than just a portion, eliminating 259 million tokens permanently from the maximum supply. The ticker swap from CLOUD to SANC is also proposed, addressing a practical discoverability issue related to search engine results.