By
Godfrey Benjamin
April 26th, 2024
ETHFI has a maximum supply capped at one billion tokens, with 20 million tokens allocated to the Binance Launchpad and 60 million tokens reserved for ‘season one’ of the token airdrop.
ETHFI, the governance token of Ether.Fi, the largest liquid restaking protocol, entered the market at $4.13 following its distribution through an airdrop and a Binance Launchpad round.
On its Binance debut, ETHFI witnessed an impressive trading volume exceeding $2 million within the first five minutes of trading. However, the ETHFI price faces some selling pressure tanking 10% as of press time and trading at $3.70.
Ether.fi operates as a liquid restaking protocol built on the Ethereum blockchain. Their flagship token, eETH, stands as the inaugural native liquid restaking token on Ethereum. Users have the ability to generate eETH by staking on the Ether.fi platform. Subsequently, Ether.fi undertakes the responsibility of staking and restaking the Ethereum (ETH) holdings on behalf of users, enabling them to optimize their rewards
The token boasts a fully diluted value (FDV) of $4.13 billion. Notably, the Binance Launchpad witnessed over $2 billion worth of the FDUSD stablecoin and 17.3 million BNB ($10 billion) being staked, with Launchpad stakers receiving ETHFI allocations proportional to their staked amounts.
Why Is the Ether.Fi (ETHFI) Token Price Down?
After their initial release, several tokens recently listed on Binance’s launchpad experienced declines in value: ARKM dropped from its debut price of 90 cents to 30 cents, and PORTAL fell from $3.60 to $2.08 within three days of issuance.
ETHFI has a maximum supply capped at one billion tokens, with 20 million tokens allocated to the Binance Launchpad and 60 million tokens reserved for ‘season one’ of the token airdrop, which concluded on March 15. An additional 50 million tokens will be distributed after ‘season two.’ Moreover, the initial circulating supply will consist of 115.2 million tokens.
Investors will receive 32.5% of the token’s total supply over a two-year vesting schedule, while core contributors will receive 23.26% over three years.
Ether.Fi Witnesses Astonishing 117% Surge in TVL
In a remarkable development within the decentralized finance (DeFi) space, Ether.Fi has experienced an impressive 117% surge in its Total Value Locked (TVL) over the past 30 days, as reported by DefiLlama. The platform’s total deposits are on the brink of reaching an impressive milestone, nearing the $3 billion mark.
One of the key strategies employed by users staking Ether (ETH) to garner additional yield is restaking, a practice facilitated by platforms like Ether.Fi. Through this process, stakers receive a liquid restaking token (LRT), enabling them to leverage their assets across various protocols. Additionally, users receive rewards with loyalty points. They can later convert them into token airdrops, enhancing the overall yield potential of their investments.
This surge in TVL underscores the growing popularity of DeFi platforms like Ether.Fi and highlights the increasing demand for innovative yield-generating strategies within the cryptocurrency ecosystem.
