Leading exchanges like , , , and listed the token on August 15. And most recently, SEI was on the largest US-based cryptocurrency exchange, Coinbase.
In this article, you will discover if this is a good moment to buy SEI, it’s native token, or just wait.
What is SEI?
Sei Network is a layer-1 blockchain built on Cosmos SDK specialized for high-frequency trading applications that offer faster transaction speed than the likes of Solana.
The project raised $30 million from Jump Crypto, Multicoin Capital, and Flow Traders in a strategic funding round in April, valuing the blockchain at $800 million.
The brightest minds in DeFi and Gaming Web3 teams are all welcome to take part🚢🚢🚢 pic.twitter.com/7uzygiXW4j
— Sei 🚢 (@SeiNetwork) August 20, 2023
How Far Can Sei Go in Price the Future?
The chain’s degen-focused online community seems to have connected particularly with the South Korean retail market, with trading surging on local exchanges Bithumb and Upbit. As of now, we saw SEI trading at 26 cents immediately after the debut. Now it’s currently at 14 cents.
We could see a good a good movement as the pre-listing futures becomes perpetual swaps on the listing. Basically longs pay shorts when perpetuals trade at a premium to the spot price, and shorts pay longs when perpetuals trade at a discount. This could give it a good pump and we could see SEI reaching nearly half a billion in market cap.
The SEI Ecosystem
The first thing to emphasize about this project is that Sei Labs, the development team contributing to the ecosystem, initially planned on running it as a scaling solution on Ethereum.
However, issues around a centralized sequencer system and limited throughput caused by Ethereum saw Sei utilize the Cosmos SDK and Tendermint Core mechanisms to launch as a layer-1 protocol designed to be optimized for trading.
Sei Public Mainnet, Pacific-1, has been live for just 5 days.
Let's take a look at some of the highlights so far. pic.twitter.com/j8TpkHH50p
— Sei 🚢 (@SeiNetwork) August 19, 2023
The blockchain protocol also announced another $50 million investment led by Foresight Ventures to boost its Sei Ecosystem Fund, which now has $120 million in its portfolio. -it has over 200 teams building on it and more than 7.5 million unique wallets
In May, Sei Labs raised $30 million across two funding rounds including investors such as Jump Crypto, Multicoin Capital, and Flow Traders. Focusing on trading apps, the protocols cover liquidity providers, gaming, DEXes, NFTs, Metaverse, infrastructure, and wallets. Prominent names like Bitget, Fable League, Falcon Wallet, and more are part of its ecosystem. Check out the ecosystem projects here.
Buying SEI or Not?
I’m not aping in as things around its SEI distribution are quite shady.
The mishap: Last Thursday, the airdrop of SEI tokens to early adopters of the blockchain turned into a disappointing event in the crypto market. Recipients seemingly rushed to dump their holdings, triggering a wave of criticism on Twitter due to insufficient token allocations.
Only 79 sei I thought may be 3000 minimum receiving
Is that 300,000,000sei airdrop ?
Its look like 5M is unique users in the testnet oh come on don't be scammed us 😭😭
I really hate this..most shit airdrop ever in crypto history 🚽🚽@Sei_FND @SeiNetwork#SeiScam pic.twitter.com/sUP8ck6HxL
— mr.meroolai | Suiswap (@MMeroolai) August 16, 2023
Notably, users were granted a maximum of 110 SEI tokens during this airdrop. Let’s consider an average of 100 tokens per user. According to Sei’s announcement of a 300 million token airdrop, a simple calculation (300M ÷ 100) equals 3 million Testnet Users. This scenario could have potentially positioned SEI as the largest Layer 1 project which is funny.
Finally, it’s important to highlight that approximately 500k testnet users were in existence (assuming all received the airdrop). If we apply basic arithmetic (300M ÷ 500K), it logically suggests that around 600 SEI should have been distributed. So where are the missing SEI tokens??
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