Author: Grapefruit, ChainCatcher
Editor: Nianqing, ChainCatcher
"The economic model of the ME token will be announced on November 18." This is the latest development revealed by Magic Eden CEO Jack Lu in a live broadcast on November 8. This news undoubtedly brings the long-awaited dawn to the crypto community, marking that Magic Eden's desire to issue tokens is about to become a reality.
In the test campaign for the test version of the ME token TestME, which ended on November 1, within just 3 days of going online, the campaign attracted more than 400,000 wallet addresses to actively participate in the claiming process test. This campaign is a key technical verification before the issuance of the ME token, and its complete success indicates that the TGE (official issuance) of the ME token is not far away.
As the ME token issuance date approaches, every step of Magic Eden’s progress has not only attracted the attention of the crypto community, but also prompted people to re-examine the value of the Magic Eden platform and evaluate its future development potential.
Magic Eden has transformed from an initial single NFT trading platform into a comprehensive ecosystem that integrates wallet services, NFT trading, token trading, cross-chain bridging and many other functions. This gorgeous transformation is eye-catching.
Soon, users will be able to easily trade all types of assets on all chains in the Magic Eden DApp application, and its rich product functions are comparable to the "decentralized Binance/Coinbase".
The number of addresses that claim the test currency TestME exceeds 400,000. The economic model of the ME token will be announced on November 18
As an important source of power in the Magic Eden ecosystem, the ME token has attracted close attention from the crypto market since its launch in August. Recently, Magic Eden has been making frequent moves, first launching the test token TestME claim test on October 29, and then announcing in the live broadcast on November 7 that the economic model of the ME token will be revealed on November 18.
TestME is a test version token carefully created by the ME Foundation, which aims to familiarize users with the claiming process of ME tokens after they are launched, and provide the platform with the final technical verification opportunity. It has no token value in itself, and only serves as a medium for users to familiarize themselves with the claiming process of ME tokens. Through the claiming of TestME, Magic Eden can test the claiming experience of users using the Magic Eden Wallet, and make full preparations for the official launch of ME tokens.
On October 29, Magic Eden's beta token TestME opened for claiming. Except for the United Kingdom and the United States, users who participate in the claiming of TestME test tokens must meet two specific conditions: a wallet that has recently used the Magic Eden platform, or a wallet that has at least one transaction record of more than $100 in the past 6 months; at the same time, some users who have recently traded tokens on the chain were randomly selected. All eligible users only need to download the Magic Eden Wallet to participate in the claiming of TestME tokens.
On the first day of the event, the number of wallet addresses participating in the claim quickly exceeded 250,000. The enthusiastic participation of users caused the Magic Eden Wallet wallet application to soar to the top 69 in the App Store. On November 1, the TestME claim event came to a successful conclusion.
Although Magic Eden officials have repeatedly emphasized that TestME tokens are only used for technical testing and have no actual value, and discouraged users from speculative trading, TestME's performance in the secondary market is still eye-catching, with active trading. The pre-market price once soared to $0.58, and the market value exceeded $11 million. As of November 11, the pre-market price of TestME still remained at around $0.35, indicating the market's strong interest and expectations for the issuance of ME tokens.
In the live broadcast on November 7, CEO Jack Lu conducted a comprehensive review and summary of the TestME claiming activity. He revealed that within 3 days of the launch of the TestME test coin claiming activity, the number of wallet addresses participating in the claiming has exceeded 400,000, and a large amount of valuable feedback from users has been received, which is of great significance for the future optimization and improvement of the product, and helps to identify and solve any potential problems before the official ME token is issued.
However, the TestME claiming activity has also caused some controversy. Some users believe that Magic Eden's requirement to download its wallet application to obtain test currency tokens is a marketing promotion for its wallet, and the process is a bit complicated.
Despite this, the TestME application activity was successfully concluded, marking the successful completion of the last technical verification for the launch of the ME token, which undoubtedly laid a solid foundation for the official issuance of Magic Eden's native token ME.
As a practical token in the Magic Eden ecosystem, it is revealed that the staking function will be enabled on the first day of launch. ME tokens are not only an important tool to motivate users and developers, but will also promote the continued prosperity and development of the Magic Eden ecosystem. Jack Lu previously stated that ME tokens will be used as an incentive medium to encourage users to use and participate in platform construction. The token pays special attention to the rights and interests of long-term active users.
The ME token is developed and launched by the ME Foundation entity and distributed through the Magic Eden wallet application. Through the incentive mechanism of the ME token, more users, developers and other stakeholders are attracted to actively participate in the construction of the Magic Eden ecosystem.
In the live broadcast on November 7, Jack Lu of Lianchuang officially announced that the ME Foundation will announce the economic model of the ME token on November 18, at which time users will be able to fully understand the specific distribution of the ME token. Subsequently, the ME Foundation also issued a statement to confirm the news. This announcement undoubtedly injected new vitality and expectations into the future development of the Magic Eden ecosystem.
Magic Eden's transaction volume has topped the NFT market for six consecutive months
Magic Eden, founded in 2021, was initially known to users as a single NFT trading platform. However, at the 3rd anniversary celebration in September, people were pleasantly surprised to find that Magic Eden had successfully achieved a leap from a single NFT trading platform on the Solana chain to a comprehensive ecosystem operating across multiple chains.
According to the NFT market data report released by CoinGecko in September, the transaction volume of the Magic Eden platform in August was US$122.47 million, and its market share was 36.7%, ranking first in the NFT trading market again. This is the sixth consecutive month that Magic Eden has won the championship.
Magic Eden was born on September 17, 2021, and was co-founded by Jack Lu, Zhuoxun Yi (formerly a core member of dYdX), ZhuoJie Zhou and other senior experts in the encryption field. At first, it was an NFT market focused on Solana. With the high performance and low cost characteristics of the Solana network, it quickly attracted a large number of NFT creators and collectors. With the platform's own professional services, innovative functions and smooth user experience, it quickly became the largest NFT trading market on the Solana chain, handling more than 90% of NFT transactions.
At the peak of the market in 2022, Magic Eden's transaction volume and user activity surpassed OpenSea, becoming a leader in the NFT field. In June of that year, it completed a $130 million Series B financing with a valuation of $1.6 billion. So far, Magic Eden has raised a total of $149.4 million in public financing.
Of course, Magic Eden has also experienced downturns and challenges. With the bear market in the crypto market and the cooling of the NFT market, Magic Eden is also facing unprecedented challenges. In addition, the FTX crash has had a huge impact on the Solana ecosystem, which has put Magic Eden's development in trouble.
Even in such adversity, Magic Eden not only did not stop moving forward, but also demonstrated its strong resilience and innovation capabilities. It not only actively expanded the NFT market, but also implemented a multi-chain operation strategy, such as announcing a partnership with Yuga Labs to develop a new NFT trading market and expanding support for chains such as Polygon to cover a wider range of digital assets.
In 2023, with the rise of the new NFT form of Bitcoin Ordinals, Magic Eden seized the opportunity again with its strong foresight and execution. It quickly adjusted its strategy and actively integrated into the wave of Bitcoin NFT.
First, in January, Magic Eden launched the multi-chain wallet Magic Eden Wallet, providing convenient one-stop NFT asset management services for network users such as Solana, Bitcoin, Polygon and Ethereum. Then in March, Magic Eden launched the Bitcoin NFT market, providing users with full support for minting, buying and selling Bitcoin NFTs. With the advent of the Runes craze in April, Magic Eden quickly launched the Bitcoin Runes platform, further enriching its NFT trading ecosystem.
Driven by the hype of Bitcoin Ordinals and Runes, Magic Eden's trading volume has surged. In April alone, the platform completed $486 million in NFT trading volume, of which an average of 50% of Ordinals trading volume occurred on Magic Eden, making it the leader in Bitcoin NFT trading and once again the focus of the industry.
According to business data disclosed by Matt Szenics, director of the ME Foundation in August, the total transaction volume processed by Magic Eden has reached 6 billion US dollars, accounting for more than 80% of the market share of all Bitcoin Ordinals and Runes.
According to the latest data from the NFTPulse data platform on November 11, in the past year, the transaction fees captured by the Magic Eden platform reached 58.39 million US dollars, accounting for about 60% of the entire NFT market revenue, making it the current NFT market with the highest revenue.
Data source: https://www.nftpulse.org/marketplaces
Jack Lu said in a previous public interview that by expanding into new NFT formats such as Runes and Ordinals, Magic Eden has outperformed most NFT markets and achieved its best year to date. Compared with 2023, Magic Eden's monthly trading users increased by 200% and revenue increased by 639% this year.
From single NFT transaction to a multifunctional complex of "wallet + NFT transaction + token swap + cross-chain"
Today, Magic Eden has surpassed the scope of the traditional NFT trading market and has evolved from a single NFT trading platform into a comprehensive ecosystem integrating NFT trading, wallet services, token swaps and cross-chain functions.
While the core NFT business is growing steadily, Magic Eden has actually been constantly exploring and expanding new business areas.
The multi-chain wallet Magic Eden Wallet, launched in January this year, not only provides users with one-stop convenient service support for cross-multi-chain NFT asset trading and management, but will also become the traffic entrance of the future Web3 world. In August, the wallet added the Token trading function, which means that Magic Eden not only supports NFT transactions, but also involves the field of homogeneous Token transactions. In addition, Magic Eden is considering further expanding its business to income services such as staking tokens to provide users with more diversified financial services.
Magic Eden's CEO Jack Lu has publicly stated many times that Magic Eden's vision is to create a one-stop on-chain asset trading platform with functions comparable to "Binance on Chain". Through Magic Eden, users will be able to complete all types of asset transactions on all chains.
In addition to supporting all types of NFT transactions such as Ordinals and Runes, Magic Eden also provides Token transactions, cross-chain asset exchange and other functions, covering all chains and all types of assets. It is gradually building a one-stop crypto asset trading center or on-chain aggregation DEX, covering diversified functions such as trading, lending, Launchpad, etc., and is committed to becoming a "decentralized Binance/Coinbase".
This means that no matter whether it is NFT or Token, no matter which chain it is on, and no matter what kind of income behavior you want to obtain (such as lending, staking), users only need to find trading opportunities and complete all asset transactions in an extremely simple way in Magic Eden DApp, without having to download different trading DApps and wallets on each chain.
This transformation of Magic Eden stems from its deep insight into the NFT market and its accurate grasp of the development of crypto trends. With the fireworks in the NFT market, users' demand for diversified services such as wallets, token transactions and cross-chain exchanges is increasing. Magic Eden can keenly capture this trend and act quickly to launch a new wallet function that supports multiple chains and assets, providing users with a more convenient and secure trading experience.
At the same time, Magic Eden's expanded token trading and cross-chain exchange services have further enriched its product line, built diversified sources of income in addition to NFT trading, and provided more possibilities for future growth.
It is reported that currently about 20% of the revenue on the Magic Eden platform comes from Token transactions.
Regarding this strategic change, Jack Lu said that he would not reduce investment in NFT, but would further increase investment. At the same time, he also admitted that there are many uncertainties in the cryptocurrency market, and Magic Eden will be more resilient by diversifying its business into more categories and use cases.
Through ever-changing strategic adjustments and innovative optimization services, as well as the adoption of cross-multi-chain layout and diversified product strategies, Magic Eden has taken a unique path in the NFT market and formed differentiated competition with pure NFT trading platforms such as Opensea and Blur.
At present, Magic Eden has integrated the ecological assets of multiple chains such as Solana, Bitcoin, Ethereum, Polygon, Base, Arbitrum, ApeChain, etc., and supports the trading of various NFT, Token and other assets on its platform.
In terms of cross-chain deployment, Magic Eden officials have repeatedly stated that they will complete the integration of 10 chains by the end of this year.
In the future, Jack Lu once revealed in an interview that in 2025 Magic Eden will focus on community building, promote product internationalization, and expand global business.
With the arrival of the ME token and the current bull market in the crypto market, the double benefits are expected to drive Magic Eden into a more prosperous and sustainable future.