XMON Price Plummets Over 90% Amid Massive Sell-Off Following SUDO Airdrop

XMON Price Plummets Over 90% Amid Massive Sell-Off Following SUDO Airdrop

As reported by Coin68, the XMON token is experiencing a significant sell-off pressure following the end of the lock-up period for the SUDO airdrop.

In September 2022, SudoSwap, the AMM platform for NFTs, announced its airdrop schedule for the SUDO token. SUDO is set to be the governance token for sudoAMM, an NFT swapping protocol developed by Sudoswap. This project has garnered substantial attention from both the NFT investment community and traditional AMM projects like Uniswap due to its highly effective liquidity provision solution for the otherwise hard-to-trade NFT assets.

With an initial supply of 60 million tokens, 41.9% of SUDO tokens were earmarked for an airdrop to XMON holders, which is the token from a previous project by SudoSwap founder 0xmons.

According to the rules, XMON holders had to lock their tokens for a month to receive the airdrop, with a rate of 1 XMON = 10,000 SUDO. The airdrop commenced on February 1, 2023, with tokens set to be unlocked on March 1.

As a result, it’s no surprise that XMON has faced a severe sell-off after the token lock-up period ended, especially considering that XMON’s only utility was for locking to receive SUDO.

In the past 24 hours, immediately after the lock-up period ended, XMON’s price has plunged by over 90% due to intense selling pressure.

Unless the founders introduce additional use cases to incentivize users to buy and hold XMON, it will be challenging for the token’s price to recover from this sharp sell-off.

Meanwhile, the SUDO token has shown minimal volatility over the past 24 hours, trading around $2.10.

4-Hour Chart for SUDO/USDT on Huobi as of 1:20 PM, March 2, 2023