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crypto.news 2025-03-21 09:31:08

Meteora shares two proposals on MET token allocation

Meteora, the popular decentralized exchange on Solana, has put forward two proposals for adjusting MET token allocation. According to Meteora’s Mar. 20 post on X, these changes aim to make liquidity provider rewards fairer, support new token launches, and secure long-term incentives for the team. The first proposal suggests revising the LP Stimulus Plan. Originally, 10% of the MET supply was set aside to reward liquidity providers, but since the program has been running longer than its expected December 2024 end date, Meteora wants to increase this to 15%. This adjustment ensures that early and new LPs receive rewards without devaluing tokens. The first two proposals are live on https://t.co/OeTKWfH27W . These proposals address key community concerns about the LP Stimulus Plan, M3M3 and more. Watch the community call to see @0xSoju & @0xmiir go through these proposals live. — Meteora (@MeteoraAG) March 20, 2025 Early contributors will receive 2% of MET under the updated plan, while all LPs will receive 8% equally. The original points multiplier system has been replaced by this. An extra 3% of MET will go to Launch Pools and Launch Pads in order to avoid reward dilution for retail LPs. The second proposal focuses on the team. Meteora plans to allocate 20% of the MET supply to its team, with a six-year vesting period to maintain long-term commitment. Within this, 2% will go to M3M3 token holders. M3M3 is Meteora’s stake-to-earn platform, which lets users earn fee rewards from permanently locked liquidity pools. You might also like: Meteora co-founder Ben Chow resigns amid LIBRA memecoin scandal This move follows the mismanagement of M3M3 by its original creators, which led to investor losses. To maintain fairness, the distribution will be based on two snapshots and wallets connected to questionable activity will be blocked. Meteora has experienced rapid growth in the past few months. According to DeFiLlama data , the platform’s trading volume surged 33 times, from $990 million in December 2024 to $33 billion in January 2025. Due to its rapid growth, Meteora now holds a 9% market share and is ranked fourth among DEXs by trading volume. While the broader DEX market was on a downturn, Meteora raked in $195 million in monthly fees in February. Despite its achievements, Meteora is currently facing legal issues that may impact its future. Burwick Law, a New York law firm, filed a class-action lawsuit against Meteora, KIP Protocol, and Kelsier Ventures on Mar. 13. According to the lawsuit, they defrauded retail traders and misled investors by manipulating liquidity during the LIBRA token launch. Read more: DEXs must shift their focus toward revenue generation | Opinion

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