Token Spotlight: STRIKE
9/4/2024
STRIKE is the governance and utility token of Strike Finance, a derivatives platform building on the Cardano blockchain. STRIKE recently released its testnets and will be undergoing audits soon, ahead of its launch later this year. Its initial token offering took place on AXO’s launchpad. This article will delve into STRIKE, its tokenomics, liquidity, and more.
STRIKE Distribution & Tokenomics
Strike has a maximum supply of 25 million tokens, of which 18 million are currently in circulation, equivalent to 72% of the supply. At 0.193 ADA per STRIKE, this gives the token a Market Cap of 1.11 million USD, and a Fully Diluted Valuation (FDV) of 1.54 million USD, placing it at #51 in the Top 100 tokens on Cardano.
There are currently 753 STRIKE holders, an increase of 96.61% since the tokens launch on August 27th. The token has a Median Holder Balance of 3.58K STRIKE, equivalent to 690.84, and an Average Holder Age of 5.95 days.
More than 50% of wallets holding STRIKE have a position worth 1,000 ADA or less and 185 holders hold a position worth 1–5k ADA, the token has a good distribution with most positions also holding well below 1% of the supply.
The above image details the tokenomics of the STRIKE token. 72% of the total supply went to the public sale and initial liquidity, while the remaining 28% will be split between the DAO and the team & their advisors. The STRIKE team tokens are in a vesting contract developed by Anastasia Labs at the following address:
https://adastat.net/addresses/addr1wxfsprv3e2ar80tf2rkex08673llh6rewhgfpzmeeqgnekqv3n2ps. You can also find this address in the Distribution Pro tab under the $strike-vesting ADA Handle.
Liquidity
STRIKE has 619.98K ADA in pooled liquidity across two Decentralized Exchanges on the Cardano blockchain. The majority of this liquidity is on the Minswap DEX which holds 99.98%, followed by Sundaeswap which holds 0.02 of the tokens total liquidity.
Volume
STRIKE has 7.9 million ADA in Lifetime Trading Volume that has taken place across 2,937 trades. 3.93 million ADA of this was buy volume while 3.93 million ADA was sell volume. The majority of these trades have taken place on the AXO DEX.
The Whale (1M+ ADA) wallet size leads the trading volume for this token, while the Swordfish (25–100K ADA) wallet size comes in second place. The Orca (250K-1M ADA) wallet size has the least trading volume for this token thus far.
Utility
We’ll now delve into the various utilities the STRIKE token has to offer.
Collateral: STRIKE can serve as additional collateral in forwards and perpetual futures contracts, offering perks like discounted fees and access to higher leverage. Any STRIKE used as collateral will be burned in the event of liquidation.
Staking: STRIKE holders can stake their tokens to earn a portion of protocol fees.
Governance: STRIKE holders can participate in governance, voting on key decisions such as upgrades, new feature rollouts, and adjustments to fee structures.
Trading Fees: STRIKE holders enjoy discounted trading fees, which can be stacked on top of the discount for using STRIKE as collateral.
Conclusion
As Strike Finance prepares to undergo audits ahead of its mainnet launch, the STRIKE token’s utility and governance features will become more prominent. With liquidity already established on decentralized exchanges, it will be interesting to see how Strike Finance and the decentralized derivatives sector on Cardano grow over the coming months and years.
You can find out more about Strike Finance at the following link: https://www.strikefinance.org/
This article is strictly for informational purposes and does not constitute a promotion or financial advice. Our aim is solely to provide users with the latest news and updates within the Cardano ecosystem. Token info was accurate at the time of writing.
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