Omni Network token falls 55% after airdrop, fake token completely rugs
The Omni Network’s ERC-20 token OMNI dropped over 55% nearly 18 hours after its airdrop, shaving off over half its market capitalization.
Meanwhile, a fake token sporting the same name has just been “rug pulled,” with its price dumping 100%.
The layer-1 testnet blockchain aiming to connect Ethereum rollups doled 3 million OMNI — 3% of its 100 million token supply — to its community contributors on April 17, starting at 11 am UTC. OMNI, market cap was $560 million.
Within half an hour, OMNI dropped nearly 30% from $53.80 to under $39 and has continued to slide to around $24 — an over 55% drop.
The current market cap is $267.5 million, giving it a fully diluted valuation of about $2.57 billion, according to CoinGecko.
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The airdrop saw early testnet users, builders and community participants get 50% — 1.5 million OMNI — of the latest airdrop, worth about $36.2 million. Eligibility was determined via a snapshot on April 3.
The remaining tokens were split variously between EigenLayer restakers and some nonfungible token (NFT) projects including Pudgy Penguins, among others.
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Omni Network outlined on April 15 that 9.27 million OMNI — 9.27% of the total supply — was being set aside as public launch tokens used for “launch pools and liquidity.”
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The largest chunk of OMNI — 29.5 million at 29.5% of its supply — will be set aside for “ecosystem development” and handed out initially at the discretion of the blockchain’s backing firm, the Omni Foundation.
Nearly a quarter of all OMNI — 23.3 million — was earmarked for investors and advisers.
Advisers today received 625,000 OMNI worth $15 million — another 875,000 OMNI will come after a year, then 437,500 OMNI every six months for two years.
Investors’ tokens were on a three-year unlock schedule, with nearly 6.7 million tokens — worth almost $161 million today — to come after 12 months, with the rest unlocking every six months until their allocation is exhausted.
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Meanwhile, the developers of a fake OMNI token using the same ticker have pulled a $398,000 exit scam.
Blockchain security firm PeckShield wrote in an April 18 X post that a fake token dropped 100% after the deploying smart contract dumped over 1.7 quadrillion tokens for 132 Wrapped Ether (WETH).
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