With TGE approaching, everything you need to know about MOVE

Written by: Alex Liu, Foresight News

On November 26, 2023, Movement Foundation announced the launch of the Movement Network utility token MOVE. Movement is a Layer 2 public chain built on ETH, aimed at bringing the Move language into the Ethereum ecosystem. With Sui's price hitting new highs and Aptos making frequent moves, the Move public chain is gradually gaining momentum, making the timing of the TGE quite opportune for Movement.

When will the token be issued?

The Movement Foundation has not disclosed the specific TGE date, but we can glean some clues from exchange-related information ------ Bybit Convert will list MOVE on December 4, the TGE is likely to occur before this date, probably at the end of this month or in early December.

What about the token economics?

The total supply of MOVE tokens is 10 billion, with an initial circulation of about 22%. 60% of the total supply will be allocated to the community, including the ecosystem and community (40%), the foundation (10%), and initial airdrop (10%).

Early contributors will receive 17.5%, and early investors will receive 22.5%. The MOVE tokens will be gradually unlocked over 60 months and the TGE will take place on the Ethereum mainnet. The team and investors will not be able to participate in staking initially. The Movement Foundation stated that after the MOVE token goes live on the mainnet (which is imminent), holders of MOVE will be able to cross-chain to the Movement Network.

The 10% initial airdrop ratio is relatively good compared to recently launched projects, the 60-month (5-year) lock-up period spans a complete cryptocurrency "4-year cycle," and the longer token unlock period can compel the team to adopt a long-term perspective and "BUIDL," rather than becoming complacent after the token launch.

The team and investors will not be able to participate in staking initially, addressing criticisms from TIA regarding "investors recouping their costs by selling staking rewards," which is a pragmatic approach.

What is the utility of the token?

The MOVE token will serve as the native asset of the Movement Network, participating in staking, gas fees, decentralized governance, and other use cases.

Staking for economic security

Once the Movement public mainnet launches and staking functionality is enabled, validators on Movement will be able to stake MOVE. As a reward for providing economic security to Movement, active validators will receive MOVE staking rewards.

Gas fees

Gas fees on the Movement Network will be priced and paid in MOVE, with a portion of the fees used to cover transaction settlement costs on Ethereum.

In the future, networks built using Move Stack are also expected to use MOVE to pay gas fees.

Governance and decentralization

MOVE holders will be able to propose governance proposals and vote on them to change certain network parameters.

Native asset of the network

MOVE will become the native asset of the Movement mainnet. Applications built on Movement can use MOVE for:

• Providing liquidity
• Acting as collateral
• Payments
• More

Who will receive the airdrop?

The initial airdrop ratio is 10%, and the main recipients of the airdrop are expected to be testnet participants, cooperative ecosystem projects, etc.

It is worth noting that the number of active addresses on the Movement testnet has exceeded 15.8 million, with a total transaction count of 680 million (averaging over 40 transactions per address). The airdrop rewards for testnet addresses should not be overly expected.

For the cooperative ecosystem project portion, the author speculates that it will be allocated to:

• Active DeFi users in the Aptos ecosystem. Movement primarily supports Aptos Move, and most Aptos ecosystem projects are preparing to deploy to Movement.
• POL stakers. Movement will integrate Polygon's AggLayer solution to address liquidity fragmentation issues.

TGE first, then mainnet?

Why will the MOVE token be launched before the Movement public mainnet?

To correctly initiate "post confirmations." Post confirmations are a mechanism that allows Movement to achieve finality in one second (or less).

The implementation of Movement's "post confirmation" mechanism requires pre-established economic security. By using MOVE tokens through liquidity deposit contracts before the public mainnet launch to establish economic security, Movement can achieve one-second finality through the "post confirmation" mechanism upon launch.

Roadmap

• Phase 1: Network genesis, MOVE token TGE, launch of liquidity deposit contracts
• Phase 2: Launch of the Movement mainnet, achieving rapid finality, MOVE token staking
• Phase 3: MOVE Stack, MEVM, shared sequencer
• Phase 4: Multi-asset staking