METIS soars 50% ─ 360 million dollar project grant makes headlines | CoinDesk JAPAN

METIS, the native token of the Layer 2 network Metis, has soared 50% in the past 24 hours, before receding slightly. This comes as the previously announced subsidy became popular in the crypto community on X (formerly Twitter), increasing investor interest in METIS and related projects.

According to data from Coingecko, the recent price spike has increased the 30-day increase to more than 240%. Trading volume soared from just $2 million in early December to more than $50 million (approximately 7 billion yen, converted at 140 yen to the dollar) on the 26th.

Announcing Ecosystem Development Fund

The Metis network is part of a cohort of layer 2 scaling protocols. Users can trade on the Ethereum blockchain with faster speeds and lower fees, but with their own ecosystem projects and tools.

Earlier this month, the Metis DAO Foundation, which maintains the Metis Network, announced a 4.6 million METIS Ecosystem Development Fund (EDF) for bootstrap development, liquidity, activity, and dissemination in the Metis ecosystem. Ta.

This amount is equivalent to more than $360 million (approximately 50.4 billion yen) as of the 26th. Payments for the project are expected to begin in the first quarter of 2024, following the release of Metis’ decentralized sequencer, a technology that distributes nodes processing transactions around the world.

Users widely expect to benefit from these incentives when using applications built on the Metis Network. This has increased Metis’ assets under management (TVL) across its various projects to more than $500 million as of Wednesday, up from just under $100 million last week, according to the data.

Metis ecosystem heats up

Tokens for some projects in the Metis ecosystem have more than doubled in the past week. Staking tool Maia’s MAIA token soared 97%, and swapping protocol Hermes’ HERMES token soared 140%.

Annualized rewards for the popular Hermis and Metis liquidity pools have jumped 200%, and up to 350% for riskier trading pairs, according to Hermis data.

The trading volume of the decentralized perpetual contract protocol Tethys has surged from less than $10 million, an average of the past few weeks, to more than $18 million in the past 24 hours, with the price of the TETHYS token at 60. %Rose.

｜Translation and editing: Rinan Hayashi
｜Image: Anjo Clacino/Unsplash, modified by CoinDesk
｜Original text: Metis Surges 50% as Ecosystem Projects Eye $360M in Grant Rewards