- Mode, an Ethereum Layer 2 network, has seen its Total Value Locked (TVL) exceed $60M in just four days.
- The airdrop campaign will distribute 550M MODE tokens to early users, incentivizing actions such as transferring assets onto the network.
- Mode’s growth is a successful example of an airdrop campaign, with the network set to gradually disburse tokens to its users.
Mode, the latest Ethereum Layer 2 network, has seen its Total Value Locked (TVL) soar past $60M in just four days. This surge in adoption comes on the heels of Mode’s announcement of an exclusive airdrop campaign for early adopters.
On January 31, Mode announced its first airdrop campaign, which will distribute 550M MODE tokens, or 5.5% of the upcoming token’s supply, to early users. The campaign is designed to provide incentives to users for a range of actions.
These include transferring assets onto the network, utilizing decentralized applications native to Mode, making referrals, taking part in upcoming quests, and past interactions with networks and decentralized applications within the Ethereum ecosystem. This approach is aimed at encouraging active participation and engagement within the network.
The recent announcement has rapidly accelerated the adoption of Mode. This is largely due to airdrop enthusiasts who are eagerly accumulating points to become eligible for the impending token distribution. More than $64M worth of assets have already been bridged onto the network, with five native DeFi dApps amassing $24.4M.
Ionic Protocol, a money market protocol native to Mode, has witnessed an approximate deposit of $21M. Subsequently, the Kim decentralized exchange has received about $3.3M. This indicates active participation and engagement within the network.
Mode’s Growth: A Successful Instance of Airdrop Campaign
Mode’s growth serves as a recent instance of a successful airdrop campaign that assigns points to its initial users. Airdrops have emerged as a favored strategy for token distribution, primarily because they are less likely to draw regulatory attention. This is because retail users are not directly buying the tokens from the issuers in return for other assets.
Mode’s airdrop is set to gradually disburse tokens to its users. In April, 400M MODE tokens are scheduled for release. Additionally, two separate distributions of 50M MODE each will be unlocked when the network’s Total Value Locked (TVL) reaches the milestones of $100M and $200M, respectively.
Finally, a third sum of 50M MODE will be shared among 500 of the network’s top 20% of most active campaign participants through a lottery mechanism. Apart from the initial users of Mode, the campaign is also set to distribute tokens to former users of 140 protocols that are part of the Ethereum, Optimism, and Ethereum Layer 2 ecosystems.
This approach ensures a wider distribution and engagement within these networks. This strategic move by Mode is set to further fuel the adoption and growth of the network, marking a new milestone in the DeFi space.