TL;DR
- Scroll has launched its governance token, SCR, initially at $1.40, but it fell to $1.14, marking a decrease of 18.4% and a market capitalization of $216.5 million.
- The launch was marked by criticism regarding the token allocation, including 5.5% for Binance users and 7% for an airdrop, which generated discontent among users.
- Despite the controversies, SCR accumulated over 200,000 holders and conducted over 500,000 transfers on its first day, with a trading volume of $222 million.
Scroll, the layer-2 network, has launched its long-awaited governance token, SCR, in a market marked by significant volatility.
Although the token initially debuted at a price of $1.40, it quickly experienced a drop, settling at approximately $1.14. This caused a significant decrease in its value, marking an 18.4% decline in the first hours of trading. With this fluctuation, SCR’s market capitalization stood at $216.5 million, with a fully diluted value reaching $1.1 billion, based on a circulating supply of 190 million tokens.
Criticism of Scroll Airdrop
The launch of SCR was marred by user criticism regarding the token allocation prior to its debut. The week leading up to the launch, Scroll faced complaints due to a distribution deemed disproportionate, which included an allocation of 5.5% of the supply for Binance Launchpool users. Additionally, 7% of the SCR supply was reserved for an airdrop aimed at early users of the network. However, the token struggled to shake off the negative sentiment that had accumulated in October.
The situation worsened when it became known that the Scroll team had been accumulating “marks” that could technically have been converted into tokens for the airdrop. Sandy Peng, co-founder of the protocol, was forced to clarify the situation on the X platform, stating that neither the co-founders nor the team members who participated in the airdrop development would be claiming these tokens, which aimed to alleviate users’ concerns.
Hey! We’ve seen some concerns raised about marks distribution and team wallets. We want to be as transparent as possible.
— Sandy | Scroll 📜 | 🦇🔊 (@sandyzkp) October 19, 2024
Despite the controversies, on-chain data indicates that SCR has managed to accumulate over 200,000 holders on its first day of operations, and over 500,000 token transfers were conducted. Trading volume also remained stable, reaching $222 million in transactions across different trading pairs. Market liquidity appeared robust, with over $400,000 available within 2% of the spot price on Binance.
With the introduction of SCR, Scroll aims to move towards a more decentralized governance model, although the path to stability and user trust still faces serious challenges.
