TL;DR
- Massive approval: 99.99% of participating wallets backed Sonic’s $200M S token issuance to accelerate US market expansion.
- Strategic use: $150M in tokens will fund a PIPE vehicle, an exchange-traded product, and the launch of a New York-based US division.
- Tokenomics shift: Gas fee changes and higher burn rates aim to protect holders while enabling institutional growth.
Sonic Labs has garnered significant backing from the community to release $200 million in its native S tokens, achieving an impressive 99.99% approval rate in a governance vote. The move aims to break into US capital markets, modernize tokenomics, and bridge blockchain with traditional finance through strategic financial structures.
S🇺🇸nic is coming.
Governance passed. Stay tuned. pic.twitter.com/3t3cRFze1u
— Sonic (@SonicLabs) August 31, 2025
Strategic Allocation for Market Entry
The initiative allocates $100 million in S tokens to support a Nasdaq-listed PIPE vehicle, establishing a strategic reserve for institutional participation. Another $50 million will support an exchange-traded product tracking the S token, to be issued by a regulated ETF provider with over $10 billion in assets and custodied by BitGo. These allocations are designed to integrate Sonic into established market channels.
Building a US Presence
In order to drive its growth, Sonic plans to establish Sonic USA LLC and create a leadership team based in New York to engage with Washington, D.C., and conventional finance networks. The initiative will dedicate 150 million S tokens, approximately worth $47.7 million, to kickstart the division. This approach reverses the typical crypto-to-TradFi path, using conventional financial vehicles to deepen blockchain’s role in capital markets.
Overhauling Tokenomics
Sonic’s current tokenomics, inherited from its Fantom Opera origins, left less than 3% of tokens under Foundation control, limiting flexibility for partnerships and listings. The team cites missed opportunities with firms like GameStop, Robinhood, and Polymarket. The new plan includes revising gas fees and increasing burn rates to offset issuance, aiming to protect long-term holders while enabling market participation.
Positioning for Growth
Launched in December 2024 via a 1:1 FTM-to-S token migration, Sonic has faced a 69% price drop since January. Still, it is advancing through initiatives like integrating US economic data on-chain via Chainlink and Pyth oracles, enabling developers to build next-gen lending, derivatives, and risk products. Sonic also played a role in the winding-up of Multichain Foundation after a $210 million security breach, underscoring its active stance in safeguarding the ecosystem.
