The Metaplex Foundation, which is in charge of Solana’s Metaplex NFT protocol, recently started an airdrop of its MPLX token for Solana NFT creators. On Monday, the offer was extended to collectors who were eligible because they had worked with certain NFT projects before. On the other hand, the price of the token quickly went down after the IPO was made bigger.
According to data from CoinGecko, the price of an MPLX token has dropped by 65% in the last 24 hours. This is after it dropped by more than 68% in the previous 24 hours. During the same time period, the highest price of MPLX was $0.34. MPLX has also dropped 67% in the last week and 87% from its all-time high of nearly $0.90 on September 20 in the hours after the token was first released. The token hit a new all-time low this morning.
MPLX is a governance token that lets the community vote on how the Solana NFT protocol will change in the future. It came out late on September 19, and at first, only people who had made Metaplex-based Solana NFT projects could use it.
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At launch, there was one big catch, and it’s still there: the airdrop isn’t available to anyone in the US, probably because of regulatory concerns.
Also, with the help of the digital asset compliance firm TRM Labs, the creators of projects that “rugged” users—that is, disappeared after launch or didn’t do what they said they would—weren’t included in the airdrop.
Collectors of Solana NFTs who have interacted with an eligible NFT mint can now claim some of the 40 million MPLX tokens that have been set aside for them. It’s not clear which projects are eligible, but anyone outside of the United States can connect a Solana wallet to the MPLX airdrop website to check if they’re eligible and possibly claim tokens.
MPLX has a maximum supply of 1 billion tokens, but it’s not clear how many tokens are in circulation right now. Neither CoinGecko nor CoinMarketCap show this number. So, neither site gives a number for the current market capitalization. Decrypt asked a Metaplex representative for the number, but did not hear back right away.
Solana is the second-largest NFT ecosystem in terms of the volume of trades, after Ethereum. In September, the popularity of recent projects like y00ts and ABC pushed Solana NFT trading volume up to $133 million, which is almost double what it was in August. Most of this trading happened on the top marketplace Magic Eden.
As Solana gets closer to Ethereum, NFT sales each month go over $947 million.
The Metaplex Foundation said last month that its technology had been used to create 20 million Solana NFTs, which have been sold for more than $3.5 billion in both primary and secondary markets. At the time, the foundation said that Solana NFTs had been used by more than 2.4 million creators and collectors.
In January, the Metaplex Foundation raised $46 million in a round led by Multicoin Capital and Jump Crypto. NBA stars Michael Jordan and Allen Iverson, as well as Solana Ventures, Animoca Brands, and Alameda Research, were among the well-known investors in the round.