The ICON Foundation announced intentions to create an interoperability incentive program with a total value of 200 million ICX, or about $200 million at the time of publication. The ICON network, South Korea’s biggest public aggregator chain, is supported by the foundation. The foundation said that it expects that this initiative would encourage the ICON community and its partner networks to embrace ICON’s Blockchain Transmission Protocol, also known as BTP, via financial incentives.
According to the official website, the incentive program seeks to give up to 200 million ICX tokens over five years, with the majority of the funds coming from the ICX reserve allocation acquired during the 2017 token sale. ICON plans to recruit development teams from various ecosystems to investigate the cross-chain communication prospects presented by BTP.
According to the firm, the bulk of the revenues will be used to build new high-quality use cases for the BTP technology, with a portion of the proceeds going toward encouraging the long-term adoption of BTP inside current protocols and communities.
BTP integration with various blockchains is now in progress, including Binance Smart Chain, Polkadot, Kusama, Moonriver, Astar Network, Edgeware, Acala, NEAR, and Harmony, among others.
ICON claims that its incentive program is the first of its kind to be solely devoted to interoperability initiatives. As Min Kim, the ICON Project’s creator, said in a statement, the project’s purpose is “not to fragment existing development communities,” but rather to offer chances for cooperation amongst them inside the layer-two ecosystem, rather than to fragment existing development communities.
Nevertheless, Scott Smiley, director of the strategy at the ICON Foundation, told Cointelegraph that security and decentralization are not the only factors driving adoption. He explained:
“We are confident that once users and developers interact with BTP, they will recognize the value of a chain-agnostic, scalable and uniquely secure protocol. This incentive fund will give the market the “nudge” it needs in order to start the snowball of adoption.”
After a successful beta test, ICON 2.0 was released, including an enhanced core blockchain engine, support for Java smart contracts, the interoperability technology BTP, and an updated tokenomics.