Monochrome Exchange, an Australian digital asset management company founded by former Binance Australia co-founder and former CEO Jeff Yew, has launched an initial exchange offering for its platform token MCR, according to Lookonchain. The sale has raised more than 5.5 million USDT so far.
MCR has a total supply of 210 million tokens. Of that amount, 5%, or 10.5 million tokens, has been allocated to the public IEO. Tokens sold through the offering will be locked for one month after the token generation event, with a linear release over the following three months.
According to the token design described in the update, MCR holders will receive discounts on spot and derivatives trading fees. They will also get priority subscription rights for Digital IPOs and token issuances. Other benefits include staking rewards, increased Launchpad allocation weighting, eligibility for the node program, and participation in platform governance through Monochrome DAO.
Monochrome also set out a buyback-and-burn structure for the token. The company said 20% of quarterly net platform profit will be used to buy back MCR on the open market and burn it. In addition, 25% of Digital IPO fee revenue will be added to the quarterly buyback-and-burn pool. The stated goal is to keep reducing MCR’s circulating supply as platform business grows.
BlockBeats previously reported that Monochrome announced the completion of a $1.8 million Series A round on Sept. 13, 2021, at a post-money valuation of about $15 million. The round was jointly led by Litecoin creator Charlie Lee, Blockstream chief strategy officer Samson Mow, former Binance chief financial officer Wei Zhou, and Kain Warwick, the founder of Blueshyft and the DeFi protocol Synthetix.
BlockBeats also reported earlier that Monochrome Asset Management obtained the country’s first Australian Financial Services Licence, or AFSL, on Aug. 18, 2022. The license is intended for the issuance of crypto-related exchange traded funds.