Monad, a highly anticipated layer-1 network, began the airdrop process, allowing users to claim their MON tokens ahead of the exchange listing.
Monad Airdrop to Happen in November
The airdrop process started this week and will conclude early next week. Hopes are that the developers will reveal more details, such as the tokenomics and the mainnet launch.
A Polymarket poll on Monad has attracted over $13 million in deposits. The odds that the airdrop will happen by November 12 have dropped to 12%. However, the odds of it happening by November 30th have risen to 90%, while those of December 31st are at 98%.
Monad aims to become a major challenger to existing layer-1 networks such as Ethereum, Solana, and BSC. Some of its top features are its EVM compatibility, up to 10,000 transactions per second (TPS), and near-zero gas fees.
Monad has secured some notable partnerships during its testnet. For example, it is using RedStone Bolt, one of the fastest-growing Oracle networks in crypto. One of RedStone’s key benefits is its fast refresh times of milliseconds.
Polymarket traders believe that Monad will have a fully-diluted valuation of over $2 billion after launch. One way of predicting this is to use Hyperliquid’s MON futures price of $0.059 and the estimated 100 billion MON supply. This would give it an FDV of over $5.9 billion.
READ MORE: PayPal Stock Price Rises After Major Dividend and Guidance News
Monad Faces Potential Risks
Nevertheless, Monad faces some major risks. One is that the layer-1 industry is highly competitive, and claims of fast speeds and low transaction costs are not enough. Some networks that launched with these claims, such as Keeta and IOTA, have not attracted much developer traction. IOTA, which launched its EVM upgrade in May, has attracted less than $30 million in assets and just 3 dApps.
The other risk is that, despite its popularity, the MON price will likely crash after the token launch as many airdrop recipients dump their tokens. This happened recently when the Meteora price crashed as airdrop recipients sold.
The same happened when top projects like World Liberty Financial, Wormhole, and Plasma launched their tokens. Hyperliquid data shows that the MON price has crashed from $0.60 on October 8 to $0.06 in the futures market today.
READ MORE: XRP Price Prediction: Murrey Math Analysis Ahead of Fed Decision
