Coinbase Altcoin Sale Faced Difficulties After Initial Success

The initial public offering of Monad (MON) conducted through Coinbase raised an unexpected $43 million in the first minutes. However, it was observed that as the hours progressed, the project struggled to reach half of its targeted amount due to a decrease in demand.

Coinbase's highly anticipated new IPO platform opened the doors for the sale of the local token of the Monad project on Monday. The intense initial demand quickly gave way to a slowdown. According to data shared by Coinbase’s Product Director Scott Shapiro, 43 million dollars was raised just 23 minutes after the sale began. This figure corresponded to approximately 23% of the total supply and initially created the impression of a significant success story.

However, the situation changed in a six-hour period. More than 50% of the offered tokens were still waiting for buyers, and the total committed amount remained around $90.05 million. The project aimed to raise a total of $187 million; this situation indicated that the excitement witnessed in the first half hour could not be sustained, and investor appetite rapidly weakened.

Market analysts evaluating the state of the Monad sale compared this situation to the MegaETH sale from last month, which generated significant excitement among investors. MegaETH received $1.39 billion in bids against a $50 million targeted sale. The slowdown in the Monad sale was attributed to the project's high $2.5 billion valuation and the fact that a large portion of the token supply was allocated to venture capitalists (VCs).

With this new platform, Coinbase aims to promote token sales that comply with US regulations and to organize a sale every month. However, the loss of momentum on the first day raised questions about the sustainability of investor interest in this new sales platform.