Movement developers plan token generation event on Ethereum ahead of mainnet launch

2024-11-27 09:27:59 Primitive Reading

From theblock by Vishal Chawla

The Movement blockchain project has unveiled its native MOVE token, which is expected to play a key role in its ecosystem.

The Movement Foundation, which supports the project’s development and governance, has detailed the distribution of 10 billion tokens across various categories, assigning 40% (4 billion tokens) to ecosystem and community initiatives.

The foundation will keep 10% (1 billion tokens) of the total token supply. Early contributors and early backers are earmarked to receive 17.5% (1.75 billion tokens) and 22.5% (2.25 billion tokens), respectively.

The token release will follow a gradual vesting schedule of over 60 months, with neither team members nor investors able to stake their tokens at the outset.

The developers highlight Movement as the first blockchain developed using the Move programming language, featuring proofs that settle on the Ethereum network. This architecture, they claim, provides increased security and rapid transaction finality through a process called "postconfirmations."

Despite utilizing Ethereum for security, Movement founder Rushi Manche emphasizes not to call the network a Layer 2 and could be better described as a fast finality rollup or a sidechain.

A token generation event is scheduled on Ethereum, initially launching MOVE as an ERC-20 token.

After the upcoming mainnet, holders will be able to bridge and stake MOVE on the network validators to contribute to the network’s economic security and, in return, receive staking rewards. “MOVE deposits [are] enabled at launch to bootstrap security for postconfirmations. You can directly contribute to the eventual security of the mainnet launch via your ownership,” Movement founder Rushi Manche stated in an X post.

The token will fulfill two main roles within the ecosystem: paying gas fees and enabling staking.

In terms of governance, the foundation stated that MOVE holders will shape the future of the network. They will be able to propose and vote on governance initiatives to adjust network parameters, promoting a decentralized and community-driven governance structure.

In April, Movement Labs announced it had raised a $38 million Series A round led by Polychain Capital, with additional funding secured from Binance Labs.

Movement’s Layer 2 would expand the usage of the Move programming language beyond the well-known Aptos and Sui Layer 1 blockchains.

Disclaimer: This specification is preliminary and is subject to change at any time without notice. Amazon Finance assumes no responsibility for any errors contained herein.