On Monday, Coinbase (COIN) announced the launch of a new platform that will enable retail investors to purchase digital tokens before they are officially listed on the cryptocurrency exchange. This initiative aims to provide “equitable access” to a broader range of tokens, ensuring clear disclosures and transparent terms for users.
Coinbase Launches New Token Sales Platform
At the outset, Coinbase aims to offer access to retail users across most regions worldwide, with plans for future expansion. Notably, this marks the first significant opportunity for US users to participate in such token sales since 2018.
Unlike traditional “first-come, first-served” sales that often fail to engage a project’s true community, Coinbase’s new token sale design prioritizes equitable access for many, rather than favoring a select few.
Token sales will be open for a defined period, such as one week, during which users can submit their requests. Once the window closes, the algorithm will determine the final allocation for all participants.
Coinbase has emphasized its commitment to user-centric design, stating that the new sales model rewards genuine supporters with higher allocation priority.
Users who sell their tokens shortly after listing—specifically within the first 30 days—may receive smaller allocations in future sales, thereby prioritizing access for “true enthusiasts of the projects.”
MON Token Launch Scheduled For Next Week
The exchange plans to host approximately one token sale each month on this new platform, utilizing its algorithm to manage token allocations. Initial purchases will be made using USD Coin, a stablecoin pegged to the dollar and issued by stablecoin issuer Circle (CRCL).
The Layer 1 (L1) blockchain Monad project is set to offer its highly anticipated MON token on this platform for the first time next week, between November 17 and 22.
In its announcement, Coinbase stated that this initiative aims to address the challenges faced by token issuers in distributing their tokens to genuine users while simultaneously building robust exchange liquidity.
The exchange also noted that initial coin offerings (ICOs), once a popular fundraising method during the 2017 crypto boom, have seen a decline due to increased regulatory scrutiny over investor protection and disclosure.
Looking ahead, Coinbase has plans to enhance the token sales platform with additional features, including limit orders and greater allocations for issuers’ target user bases. This launch is described as just the beginning of a new era for token distribution.
At the time of writing, the exchange’s native token, COIN, was trading at $316—a little over 4% increase on Monday. This increase was also fueled by a recovery in broader cryptocurrency prices, with tokens like Bitcoin (BTC) and XRP leading the way.
Featured image from Shutterstock, chart from TradingView.com
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