Key Takeaways
- 502 million ME tokens have been allocated to the community and will be distributed over four years.
- The initial ME token airdrop will be made exclusively through the Magic Eden mobile dApp; compatible wallets have yet to be confirmed.
- The ME token will be used to reward users and stakers and grant users governance/voting rights.
Magic Eden, a cross-chain non-fungible token (NFT) and Bitcoin Ordinals/Runes platform is gearing up for the $ME token generation event (TGE) and one of the most valuable airdrops in crypto history.
Here are all the details so far on the tokenomics and distribution.
What is Magic Eden?
Magic Eden is one of the most popular decentralized cross-platform NFT marketplaces. It’s also one of the top-ranked Bitcoin decentralized exchanges (DEX), having garnered an 80%+ share of Bitcoin Ordinals and Runes trading volumes.
Since launching in Sept. 2021, Magic Eden has processed over $4.4 billion in trading volumes, servicing 2.33 million traders, according to DappRadar. The Magic Eden Foundation reports $6 billion in trading volumes.
Magic Eden aspires to become a decentralized application (dApp) for NFTs and cross-chain cryptocurrency trading. The launch of the ME token represents a significant step toward realizing ambition.
The ME token will be the native token of the platform and will be leveraged for staking rewards, future airdrops, and governance voting rights.
ME Token Details
The ME TGE is set to be one of the most valuable airdrops in crypto history.
Over half of the token’s 1 billion supply will be distributed over four years to the community. With pre-market tokens valued at $2.9, the initial 12.5% airdrop of 125 million tokens is worth a gigantic $362.5 million.
The highly anticipated TGE is expected to take place in a few weeks. Prior to the TGE, a full release schedule, including compatible wallets, is expected to be released.
Tokenomics
- Token Supply: 1,000,000,000 ME
- Initial Airdrop Allocation: 125,000,000 ME (12.5%)
- Community & Ecosystem: 377,000,000 ME (37.7%)
- Contributors: 262,000,000 ME (26.2%)
- Strategic Participants: 236,000,000 (23.6%)
Community Allocation
Magic Eden has allocated 502 million ME (50.2%) to the community. This is split between the initial airdrop claim (12.5%) and the Community & Ecosystem (37.7%).
The claim rewards will be spread across the Bitcoin, Solana, and Ethereum Virtual Machine (EVM) ecosystems, fully unlocked, and distributed to users via the Magic Eden mobile dApp. Any unclaimed tokens will be returned to the community allocation for staking rewards.
Of the Community & Ecosystem’s allocation, 22.5% is reserved to reward active ME protocol users. The remaining 15.2% will be long-term grants for Magic Eden “advocates and creators.” In addition, 5% of ecosystem dev has been placed in the ME Foundation Treasury.
Team & Investors Allocation
The remaining 498 million ME (49.8%) tokens are going to the team and its backers. This is split between contributors (26.2%) and strategic participants (23.6%).
Magic Eden employees, advisors, and contractors are included in the contributors’ allocation. Core contributors, who represent over 60% of this token allotment, will have their tokens locked for at least 18 months following the TGE.
Strategic participants include all who provided the Magic Eden Foundation with “critical guidance” in developing Magic Eden protocols. These tokens will have a 12-month minimum lockup period post-TGE.
ME Airdrop Eligibility
The Magic Eden team has said they will release an eligibility checker for users to see which wallets can be linked for the ME token claim.
In terms of eligibility, tokens seem to be being distributed to anyone who has traded on the platform, which is over 2.3 million users. Presumably, token allocations will be weighted based on user activity/trading volumes.
Stay tuned for more updates.
Eddie is a gaming and crypto writer at CCN. Covering the often weird and wonderful world of Web3 with an adoring, but skeptical eye.
Prior to CCN, Eddie has spent the past seven years working his way through the crypto, finance, and technology industry. He began with PR and journalism with Bitcoin PR Buzz and BitcoinNews.com, eventually working his way to become a copywriter with a dozen firms, including the likes of Polkadot before returning to journalism in 2023.
Having studied Radio production and journalism at University in the UK, Eddie spent a few years making podcasts and presenting on a local London radio station as he built up his writing chops.
A lifelong skateboarder, Eddie can often be found at the skatepark or touring the streets looking for something new to try. That, or kicking back playing JRPGs on his original PSP.
