Solana Name Service to Airdrop 40% of Token Supply

Solana Name Service, or SNS, is preparing for its upcoming token generation event (TGE) and airdrop, with 40% of the token supply distributed to the community.

The tokenomics allocate 40% of the total SNS supply to the airdrop, with 20% on launch day and the other 20% set for those who contribute to the project’s “LFG Campaign.”

Another 20% will be allocated towards future emissions, 26% to ecosystem growth initiatives, 5% to liquidity, and just shy of 9% to the team and investors, meaning just 25% of the total supply will be in circulation on launch.

No details have been released about the LFG Campaign or what users may need to do in order to earn a portion of the 20% token distribution.

SNS is a Solana-based domain system, similar to the Ethereum Name Service, known as ENS.

SNS is significantly smaller than its Ethereum counterpart, with 126,000 SNS holders and 277,000 registered domains, compared to ENS’ 798,000 unique participants and 1.7 million active ENS domains.

The 20% initial airdrop alongside the additional 20% from the LFG Campaign makes SNS one of the more generous airdrop distributions, with a majority of protocols distributing between 8% and 15% of their total supply to airdrop recipients.

The SNS token will be the protocol’s second token drop, as it originally launched the FIDA token in December 2020. FIDA is down 31% over the last week fueled by the news of a second token drop, and changes hands at a $56 million market capitalization.

The ENS token currently trades at $17.46, or a $1.7 billion fully diluted valuation, with $580 million circulating.