The Monad Foundation has concluded a limited liquidity program that gave selected early investors an opportunity to sell their locked MON tokens ahead of schedule, but the offer attracted almost no participation.
The Foundation said it offered to purchase locked MON from certain early backers at a discounted price reflecting the remaining four-year vesting period. The program had a maximum purchase value of $60 million.
However, nearly all of the investors approached by the Foundation chose not to participate.
The Foundation confirmed that the program has now ended and emphasized that any MON acquired through the initiative will remain subject to its original vesting schedule rather than entering the circulating supply early.
It also clarified that it has not sold, offered to sell, or sought to sell MON through OTC markets or other channels.
Why Monad Offered the Liquidity Program
Early investors received approximately 19.7 billion MON, representing nearly 20% of Monad’s original 100 billion token supply, when the network launched its public mainnet in November 2025.
Those tokens are subject to a one-year cliff, with the first unlocks expected in November 2026, followed by monthly releases over the following three years.
The Foundation said the liquidity program was designed for investors whose financial needs or investment strategies had changed, giving them an orderly way to exit before the scheduled unlocks.
The initiative also aimed to strengthen long-term alignment among investors. Those investors chose to retain their locked positions.
MON Faces Price Pressure Ahead of Unlocks
MON was trading around $0.021, according to the supplied market data, approximately 16% below its $0.025 public-sale price.
Roughly 11.8 billion MON are in circulation. The market capitalization sits near $250 million. The fully diluted valuation stands at about $2.1 billion.
Traders will likely keep the unlock cycle in focus. They assess how additional token supply might influence market liquidity and price movement.
Monad DeFi Activity Tells a Different Story
While MON’s price has struggled, activity across the Monad ecosystem has strengthened.
Data from DeFiLlama, cited in the report, shows deposits across Monad-based DeFi apps have risen. They reached about $895 million. In early July, deposits were roughly $360 million.
That signals a nearly 150% rise in six weeks. On-chain activity has continued expanding despite the token’s price weakness.
Monad is an Ethereum Virtual Machine-compatible Layer 1 blockchain designed to support high transaction throughput and low fees. MON serves as the network’s native asset, powering transaction fees and staking-based network security.
What the Rejected Offer Signals
Rejection of the Foundation’s liquidity offer appears overwhelming and could signal a broader sentiment. Early investors still seem confident about Monad’s long-term prospects.
However, the decision should not automatically be viewed as a bullish signal. Investors may have rejected the offer for a variety of reasons. These include the discount applied to locked tokens or expectations surrounding MON’s future valuation.
The more important test could come when the first scheduled unlocks begin later this year.
Billions of MON will eventually move through the vesting process. Traders will watch closely for changes in circulating supply, exchange liquidity, ecosystem activity, and selling pressure.
For now, the Foundation’s experiment has delivered one notable result. Early investors overwhelmingly chose to keep their locked MON rather than accept an early exit.
