Monad distributed $105 million worth of its native token to early users Monday, but the airdrop left some community members disappointed after the cryptocurrency debuted near its recent public sale price. The token offering concluded a months-long anticipation period for the Ethereum and Solana competitor, though market reception proved lukewarm as speculators found limited opportunities for immediate profit.
What Happened: Token Launch
Monad completed distribution of MON tokens on Monday after approximately 76,000 wallets claimed 3.33 billion tokens earlier this month. Recipients included network users, developers and community members, along with holders of several NFT projects and traders on platforms including Hyperliquid and Pump.fun.
The tokens, trading around $0.0316, represented 3 percent of MON's total supply and 30 percent of its circulating supply.
The distribution followed a public offering on a Coinbase-backed platform that saw 85,800 participants commit $269 million for 7.5 billion MON tokens priced at $0.025 each. The sale raised $187 million and concluded the same day as the airdrop. Within Monad's official Discord server, several participants expressed surprise that MON traded near the previous sale price rather than at a premium.
A community member known as Barnabas on X voiced disappointment with their allocation of 32,000 MON, worth approximately $950 in stablecoin USDC, after creating Monad-themed content for more than six months. Another user, NikkiSixx7, immediately sold 71,000 MON tokens for $0.031 each on crypto exchange MEXC.
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Why It Matters: Network Competition
The tepid market response highlights ongoing challenges for blockchain projects attempting to balance early supporter rewards with fundraising needs. Trevor Thompson, co-founder and CEO of Ethos Network, defended Monad's approach on X, arguing the project maximized capital raised while offering tokens at fair market value.
"Their ICO was basically perfect in terms of price discovery," Thompson wrote, noting the difficulty of pricing initial offerings without leaving money on the table.
Crypto airdrops serve as incentive mechanisms for early adoption while rewarding community contributors, though geographic restrictions often limit participation. Last year, decentralized perpetual futures exchange Hyperliquid distributed tokens initially valued at $1.6 billion, marking one of the industry's most lucrative airdrops. SEC Chair Paul Atkins indicated earlier this year that regulators were developing appropriate disclosure frameworks and exemptions for such distributions.
Closing Thoughts
Monad's airdrop demonstrated the complexities of token price discovery in cryptocurrency markets. The project raised $431 million total through $244 million in traditional funding rounds and $187 million via public sales, establishing significant capital reserves despite mixed community sentiment toward the token's market debut.
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