On November 17, Monad will open sales of its MON token on Coinbase’s new launch platform. What are the key things to remember about this operation?
Monad prepares to sell its MON on Coinbase
After several months in the starting blocks, Monad will open its mainnet at the end of the month, which will also mark the launch of its MON token.
This news serves as a double announcement, since on November 17, the sale of MON will inaugurate Coinbase’s token launch platform.
As shown in the infographic below, the sale will take the form of an auction system, with a starting price of $0.025 per token. Purchase orders will range from $100 to $100,000, with a higher limit for Coinbase One users. On this occasion, 7.5 billion tokens will be offered for sale, representing 7.5% of the total supply:
On November 22, the closing of this sale will also mark the launch of Monad’s mainnet. As a reminder, Monad is a layer 1 Proof of Stake (PoS) compatible with the Ethereum Virtual Machine (EVM), in development since 2022.
As part of this event, the Monad Foundation teams are promoting the decentralization of their token:
Decentralization is only possible with a broad distribution of MON token ownership. A healthy ecosystem includes not only developers and users, but also token holders.
However, we may question the definition of “decentralization” when we look at the project’s tokenomics:
In concrete terms, the team and investors are allocated nearly 51% of the supply.
Between the airdrop and the public sale, less than 11% is guaranteed to the community, while the trickle-down effect of the 38.5% dedicated to ecosystem development is uncertain. This allocation is redistributed to projects building on the network, and while a portion goes to the community through incentives, another portion is also used to compensate developers.
Added to this is the fact that the layer 1 sector is already highly competitive, with Ethereum alone accounting for more than 67% of the total value locked (TVL) in decentralized finance (DeFi). Monad will therefore have to prove itself in order to carve out a lasting place for itself within the ecosystem.
