Main European Web3 funds startup xMoney has introduced the launch of a new token, XMN, on the Sui blockchain, to the displeasure of traders within the platform’s current token, UTK.
The corporate describes the change as “the following stage of xMoney’s development” and one other step within the transition from the MultiversX blockchain to Sui.
The way forward for xMoney is not going to be restricted to one system or one community, the startup workforce stated.
XMN will launch at $0,10 per token token and with a totally diluted worth of $1 billion on a complete supply measurement of $10 billion.
xMoney was beforehand generally known as UTrust. In January 2022, the startup was acquired by MultiversX. UTrust was rebranded as xMoney in August 2023, following a governance proposal that handed with over 92% of votes. As well as to the rebranding, the token’s financial mannequin was additionally modified: the full variety of UTK was set at 1 billion as an alternative of 250 million. Since then, UTK has been working on the MultiversX community, attracting traders by being a governance, staking, and cashback token.
Curiously, after the launch of XMN, the old token UTK can be invalidated. UTK holders can be in a position to convert their holdings at a 1:1 charge with a six-month lock-up or at a 3:1 charge and not using a lock-up. The controversy is fueled by the truth that the full provide of UTK is 1 billion, which is ten occasions smaller than the ten billion XMN.
This successfully reduces UTK holders’ stake by 10 or 30 occasions, relying on the conversion technique, in the whole lot associated to xMoney, together with voting rights in administration and monetary dependence on the startup’s development.
Following the announcement of the new token, the UTK charge has fallen by nearly 6% over the previous XNUMX hours.
