What You Need to Know About Meteora’s 25% MET Allocation Plan
The post What You Need to Know About Meteora’s 25% MET Allocation Plan appeared on BitcoinEthereumNews.com.
Meteora, a decentralized finance (DeFi) platform based on Solana (SOL), has proposed to allocate 25% of its MET crypto token supply toward a Liquidity Rewards and Token Generation Event (TGE) Reserve. The community sentiment around the proposal is mostly optimistic. Yet, users have expressed concerns about the sufficiency of liquidity at launch. How Meteora Plans to Use 25% MET Supply for Liquidity and TGE The proposal was detailed on Meteora’s governance forum. It outlines a 20% allocation for a Liquidity Rewards Reserve. This reserve is for liquidity mining rewards to incentivize liquidity providers for two years post-TGE. “To ensure that Meteora remains the best place to provide liquidity in the future, we propose the creation of a Liquidity Rewards Reserve, to be strategically leveraged by the Meteora Team to attract liquidity providers,” the proposal read. It will likely be used to match token incentives for major launches, continue the liquidity provider (LP) Stimulus Plan (Season 2), and fund new programs to boost user adoption and liquidity. Furthermore, TGE Reserve will get 5% of the supply. The supply is for initial liquidity provision, market-making, and other tasks related to the TGE. “My personal take is that 5% is on the low end, considering we have 40% of circulating supply day 1, but anticipate the LP Army to be able to shoulder the difference,” the proposal’s author, Soju, wrote. Many users share Soju’s view, emphasizing the need for sufficient liquidity at TGE. “I like the proposal, and it indeed makes a lot of sense. Nevertheless, I believe 5% for MM might be too low. I understand we have the LP ARMY to help, but 40% running on day 1 means deep liquidity will be extremely important,” a user commented. This proposal follows earlier initiatives by Meteora to refine its token distribution strategy.…
Filed under: News - @ May 2, 2025 10:22 am