BitMart Research, the research arm of BitMart Exchangepublished a detailed report on Monada next-generation Layer 1 blockchain that redefines the scalability of Ethereum through parallel execution. Backed by high-profile investors such as Paradigm and Coinbase Ventures, Monad will launch its MON token on Coinbase’s new public sales platform, with an implied valuation of $2.5 billion and expectations of entry into the volatile but closely watched market.
Unlike many high-speed chains that sacrifice decentralization or EVM compatibility, Monad introduces a new architecture that achieves up to 10,000 TPS, sub-1 second finality, and sub-cent gas fees, without compromising Ethereum compatibility. Its custom consensus mechanism (MonadBFT), parallel execution engine, and high-throughput networking stack position it as a powerful foundation for high-frequency trading, gaming, and real-time AI applications. With strong ecosystem traction from early builders like Kuru Exchange, aPriori, and Kite AI, Monad is poised to challenge both modular stacks and monolithic Layer 1s as a high-performance, developer-friendly, and institutionally credible Web3 infrastructure.
1. Project Overview
Coinbase recently launched its new token public sale feature, and the first project selected is Monad. Starting November 17, 7.5 billion MON tokens, or 7.5% of the total supply, will be sold to the public at $0.025 per token, valuing the project at $2.5 billion. During Binance’s premarket, MON is trading around $0.051, implying a fully diluted valuation of around $5.1 billion.
Monad achieved such a high valuation mainly due to its technical innovation and strong investor support. In blockchain development, performance and compatibility have long been difficult to achieve at the same time. Ethereum laid the foundation for smart contracts, but suffers from low throughput and high fees, while many high-performance chains sacrifice decentralization and ecosystem compatibility.
Monad takes a different approach by creating a parallelized architecture from scratch. With technologies such as MonadBFT, an asynchronous execution engine, and RaptorCast, Monad shows that high performance can coexist with full EVM compatibility. Developers can easily migrate Ethereum applications and users can enjoy near-instant on-chain interactions in a familiar environment.
These innovations have attracted high-profile investors. In 2024, Monad raised $225 million in a round led by Paradigm, with participation from Coinbase Ventures, Wintermute, Amber, GSR and others. Offering 10,000 TPS, 1-second finality, and sub-cent gas fees, Monad exceeds Ethereum’s performance ceiling and provides a solid foundation for high-frequency trading, blockchain gaming, and real-time applications. With this balance of speed and compatibility, Monad positions itself as a promising next-generation Web3 framework.
2. System architecture
Monad is designed around three main goals: easier development, faster transactions, and a more secure and decentralized network.
EVM Compatibility:
Monad is fully compatible with EVM bytecode, meaning developers don’t need to learn new languages like Move or Rust. Ethereum smart contracts, tools and DApps can be migrated directly. Additionally, Monad improves EVM execution efficiency by optimizing instruction scheduling and state access. Unlike Ethereum’s linear execution model, Monad uses instruction-level parallel scheduling, allowing batches of transactions to execute in parallel on multi-core processors, significantly increasing throughput.
High performance:
Performance is Monad’s main strength. With its custom MonadBFT consensus mechanism, RaptorCast network protocol, asynchronous parallel execution, and JIT compiler optimizations, Monad achieves up to 10,000 TPS. Blocks are produced in 0.5 seconds and reach their finality in 1 second. This level of speed and stability supports high-frequency trading, blockchain gaming, AI-driven real-time interactions, and other demanding applications, while keeping average gas fees below a penny.
Decentralization:
Unlike many high-performance chains that rely on high-end hardware or centralized sequencers, Monad enables fair participation through a globally distributed network of validators. Any node with standard hardware can join the set of validators, helping to prevent IT centralization and governance monopolies.
3. Tokenomics
MON is the native token of the Monad network, used for payments and gas staking. The total supply is 100 billion MON. At the launch of the mainnet, 10.8% (10.8 billion) will be unlocked and circulating, coming from public sale (7.5%) and airdrop (3.3%).
38.5% is allocated to the growth of ecosystems and managed by the Monad Foundation.
The remaining 50.6% goes to the team, investors and Category Labs, all locked in for at least one year and vested over four years:
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Team: 27%
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Investors: 19.7%
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Labs category: 3.95%
The Foundation plans to delegate 15-25 billion MON to validators for network security and ecosystem incentives.
MON has a dynamic supply model: around 25 MON are issued per block as staking rewards (around 2% annual inflation), while a portion of the base transaction fee is burned to compensate for inflation. All locked tokens will be fully vested by Q4 2029.
4. Market performance and ecosystem projects
Kuru Exchange
Kuru is an on-chain order book DEX on Monad that also integrates AMM and aggregates major sources of liquidity. It offers both a Pro trading mode and a Lite swap mode, making it suitable for both advanced and beginner users. It is one of the largest DEXs in the ecosystem and has raised $11.6 million in a 2025 Series A round led by Paradigm and Electric Capital.
a priori
aPriori is Monad’s native MEV infrastructure and liquid staking protocol. Users stake MON to create aprMON and earn both staking rewards and MEV income. It is optimized for Monad’s parallel execution environment and uses a probabilistic MEVA model. By 2025, it had raised over $30 million, making it one of the largest DeFi projects in the ecosystem.
Castora
Castora is a decentralized P2P prediction market on Monad, similar to Polymarket. Users pay an entry fee to participate; the prediction closest to the final snapshot price wins the entire pool. It currently offers an ETH price prediction market with an entry of 10 USDC per spin.
Kintsu
Kintsu is a liquid staking protocol built on both Aleph Zero and Monad, created by a former Pangolin strategy manager. It has raised $4 million in 2025 and will launch sMONAD LST during the first week of Monad mainnet. Its Aleph Zero product, sTZERO, is already live on testnet.
Modus
Modus is a premium brokerage protocol on Monad designed for high-value DeFi users. It combines loans, delta-neutral vaults and auction-based liquidations, redirecting profits – normally captured by liquidators and arbitrageurs – to LPs and protocol participants to improve capital efficiency.
5. Coinbase Launch Analysis
Market expectations place Monad’s pre-listing valuation at nearly $5 billion, while the public sale implies around $2.5 billion, so MON will likely open between $0.025 and $0.05. But all initial tokens in circulation come from the public sale and airdrop, both fully unlocked at TGE. This creates strong early selling pressure and the opening price can be very volatile.
The risks are clear. If MON opens at $0.05, the anticipated selling pressure could exceed $540 million, and with the market still weak, it is uncertain whether buyers can absorb it. Coinbase’s strict compliance rules also mean that non-US users may face KYC or regional restrictions.
If MON lists at a $5B FDV, the public sale could see up to ~2x upside, but recent new tokens have performed poorly, so there is real downside risk in the short term.
6.Conclusion
Monad’s strength lies in combining high performance with full EVM compatibility, making it attractive for trading, gaming and real-time applications. But in the current L1/L2 competition, technology alone is not enough; the growth of the ecosystem is greater. The ecosystem is still young and lacks a dominant flagship project, but teams like Kuru, aPriori, Castora, Kintsu, and Modus are building the first layer of DeFi and business infrastructure. There is still great long-term potential, especially in DEX, gaming and high-frequency trading applications.
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