<p class="is-style-lead">Magic Eden, one of the largest non-fungible token marketplaces, saw its newborn airdropped coin become a flop right after its launch on Tuesday, Dec. 10.</p> 
<p>According to a blog <a href="https://blog.mefoundation.com/blog/me-tokenomics/" target="_blank" rel="nofollow">post</a>, the <a href="https://crypto.news/magic-eden-dominates-nft-market-as-its-share-nears-37-coingecko/" target="_blank">NFT marketplace</a>, launched in September 2021, allocated 12.5% of its 1 billion Magic Eden (ME) total supply to its airdrop. The token generation event captured the attention of leading crypto exchanges.</p> 
<p>Binance, Upbit and Bithumb <a href="https://crypto.news/binance-upbit-and-bithumb-set-to-list-magic-eden-token-on-dec-10/" target="_blank">announced</a> to list ME hours before the launch. Coinbase also joined the listings late Tuesday, the exchange posted on X.&nbsp;</p> 
<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter">
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   https://twitter.com/CoinbaseAssets/status/1866606052403253626 
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<p>The OKX crypto exchange also started supporting Magic Eden’s native token early Wednesday, per an official <a href="https://www.okx.com/help/okx-to-list-perpetual-for-me-crypto-along-with-its-margin-trading-and-simple" target="_blank" rel="nofollow">announcement</a>.&nbsp;</p> 
<p>Right after its launch, ME reached an all-time high of $17, according to data from CoinGecko. This brought the value of the airdrop, 125 million ME, to a staggering $2.12 billion, making it the third-largest free token distribution event after Uniswap’s $6.4 billion and ApeCoin’s $3.5 billion airdrops, per CoinGecko <a href="https://www.coingecko.com/research/publications/biggest-crypto-airdrops" target="_blank" rel="nofollow">data</a>.&nbsp;</p> 
<p>Despite the notable exchange listings, Magic Eden faced a harsh selloff, a movement expected with token airdrops. ME plunged to an all-time low of $4.42 less than two hours after its launch and is still down by 67% from its $17 mark — currently trading at $5.71.</p> 
<p> You might also like: <a rel="" href="https://crypto.news/usda-bitcoin-backed-stablecoin-is-2nd-largest-cdp/"> USDa is the second-largest CDP project worldwide at $84M </a> </p> 
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 <img loading="lazy" decoding="async" width="1035" height="626" src="https://crypto.news/app/uploads/2024/12/Screenshot-2024-12-11-110723.png" alt="Here’s why Magic Eden’s airdropped token flopped 67% - 20" class="wp-image-14318263">
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  Source: <a href="https://www.coingecko.com/en/coins/magic-eden" target="_blank" rel="nofollow">CoinGecko</a>
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<p>At this point, ME’s market cap is hovering at $745 million with a massive daily trading volume of $4.68 billion. The high level of trading volume suggests increasing demand for the asset.</p> 
<p>Another phase of a selloff would still be expected for ME as the token distribution hasn’t been completed yet. Some X users also complained about the complexity of claiming the free Magic Eden tokens.</p> 
<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter">
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   <p lang="en" dir="ltr">Thought claim was pretty easy once I figured it out.<br><br>Instructions should have been easier / shouldn’t have been forced to watch a video that didn’t even explain the proper steps to claim.</p>— risicare (@risicare_eth) <a href="https://twitter.com/risicare_eth/status/1866492984943841690?ref_src=twsrc%5Etfw" target="_blank" rel="nofollow">December 10, 2024</a>
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  <script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script> 
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<p>An X user with over 174,000 followers, known as Franklin, claimed that the <a href="https://crypto.news/magic-eden-wallet-to-simulate-me-airdrop-in-october/" target="_blank">Magic Eden wallet</a>, used to collect the free tokens, faced technical issues.&nbsp;</p> 
<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter">
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  <blockquote class="twitter-tweet" data-width="550" data-dnt="true">
   <p lang="en" dir="ltr">What went wrong? <a href="https://twitter.com/MagicEden?ref_src=twsrc%5Etfw" target="_blank" rel="nofollow">@MagicEden</a> <a href="https://twitter.com/search?q=%24ME&amp;src=ctag&amp;ref_src=twsrc%5Etfw" target="_blank" rel="nofollow">$ME</a> <a rel="nofollow" href="https://t.co/mI3tPUOQ3H" target="_blank">pic.twitter.com/mI3tPUOQ3H</a></p>— Franklin (@franklinisbored) <a href="https://twitter.com/franklinisbored/status/1866489721129718101?ref_src=twsrc%5Etfw" target="_blank" rel="nofollow">December 10, 2024</a>
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  <script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script> 
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<p>Many more complained about the same issue in Franklin’s X thread.</p> 
<p> Disclosure: This article does not represent investment advice. The content and materials featured on this page are for educational purposes only. </p> 
<p> Read more: <a rel="" href="https://crypto.news/sec-commissioner-urges-to-reform-crypto-regulation/"> SEC Commissioner urges to reform crypto industry regulation </a> </p>

Here’s why Magic Eden’s airdropped token flopped 67%

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