Journalist
Posted:
- The FDV of the Magic Eden crypto, ME, rose to $15 billion but has fallen to around $5 billion.
- ME’s market cap has fallen by more than 50% in the last 24 hours.
Magic Eden crypto has been the center of attention over the past 48 hours. This follows announcements from major exchanges about listing their AirDropped native token, ME.
While the listing has increased the token’s visibility, it has also raised mixed feelings and security concerns within the crypto community.
Magic Eden crypto ME token goes live
Binance, one of the largest crypto exchanges in the world, announced the listing of Magic Eden’s ME token, allowing trading and withdrawals from December 10.
To address the risks associated with the token’s new status, Binance has added a “seed tag” to ME.
This requires users to complete a platform quiz every 90 days and accept the exchange’s terms of use in order to continue trading the token.
In addition to Binance, South Korean exchanges Cancelled And Bithumb also mentioned ME on December 10th. Both exchanges pegged the token to the Korean Won, Bitcoin and Tether, further increasing market accessibility.
The buzz around ME’s mentions has pushed it to the top of the list Santiments list of trending assets from the last 24 hours.
Although the asset has received a mix of responses, positive sentiment currently dominates, accounting for over 55% of the sentiment data analyzed.
The AirDrop process leads to security issues
Magic Eden’s approach to its ME token AirDrop has drawn criticism from parts of the crypto community. The AirDrop is designed to reward NFT traders for their past activities.
Users had to import the private keys of their eligible wallets into Magic Eden’s wallet app or create a new wallet on the platform and link it to their old wallet to claim the AirDrop.
While this process excited some traders, it led to significant security issues, among other things.
Critics argue that requiring users to import private keys increases the risk of potential exploits, highlighting the need for more secure and transparent AirDrop methods.
Post-listing market performance
Magic Eden’s ME token saw a volatile debut after its listing. Trading started on December 10 at around $10 and rose to $12 during the first trading session, bringing its fully diluted valuation (FDV) to $15 billion.
Source: CoinMarketCap
However, the token’s momentum quickly reversed. At the time of writing, ME is trading around $5.08, marking a significant decline from its initial highs.
As a result, FDV has fallen to approximately $5.06 billion. Furthermore, its market cap stands at $663 million – down more than 55% in the past 24 hours, according to data from CoinMarketCap.
