Mynth, a cross-chain layer zero protocol that facilitates seamless token transfers between different networks, has announced the launch of its Initial Dex Offering (IDO). According to a press release shared with NFTGators, the IDO will take place across 9 blockchain networks on multiple launchpads.
This milestone marks the initial distribution of Mynth’s native token, MNT, which will play a fundamental role in paying for services within the protocol, securing the network, staking and ecosystem rewards, among other on-chain functions. MNT will also be used to support governance initiatives, allowing MNT holders to vote on key decisions related to the platform’s development and governance.
The IDO is scheduled for Tuesday, January 21, with a starting price of $0.1, fixed across the nine chains supported by Mynth. The protocol has a limited total supply of 99,989,832 MNT, with 50 million allocated to the IDO event. Core team tokens will vest linearly over 36 months.
Notably, this utility token follows a deflationary tokenomics model to ensure long-term sustainability. It leverages an in-built token buyback and burn mechanism. Specifically, the fees collected on the protocol will be used to buy back MNT tokens from the market which will be subsequently burned.
As for the protocol design, Mynth leverages a layer zero infrastructure which is specifically built to enable crypto users to transfer digital assets across multiple blockchain networks with ease. The protocol operates as a peer-to-peer, decentralized, and trustless ecosystem, supporting the transfer of any token for any token across any network without any central intermediaries being involved.
Commenting on the development, Mynth’s founder Robert Roose, told NFTGators that the IDO was a significant step in the project’s mission to unify the fragmented blockchain ecosystem,
“Mynth’s IDO is not only a first of its kind, it marks a pivotal moment to deconstruct borders and offer Mynth’s underlying utility token to users worldwide. This transition from private beta to open access will showcase Mynth’s cross-chain communication capabilities to broaden accessibility and bring mass web3 adoption.”
The funds raised in this IDO will be allocated to establishing Protocol-Owned Liquidity (POL) in AMM DEX liquidity pools, with the price set at 20% above the finalized fair launch price as per the prevailing market prices.
More importantly, the liquidity pool tokens will be locked in Mynth DAO Treasury for a period of 12 months. This initiative will help to incentivize early buyers with an opportunity to instantly make profits off their initial investments while at the same time supporting the sustainability of MNT’s tokenomics in the long term.
Cross-chain protocols play a key role in addressing the fragmentation problem in the crypto industry. Currently, a $3 billion market, per CoinGecko, daily trading volume on these platforms has recently gained traction, approaching the $1 billion mark earlier in January.
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