Bitcoin News Today: Plasma Token Sale Oversubscribed 746% Drives Valuation to $500M

Plasma, a Layer 1 blockchain platform backed by Bitfinex, has concluded a $373 million token sale in 10 days, far exceeding its initial $50 million target. The project now holds a $500 million valuation, with 10% of its 1 billion XPL token supply distributed to early participants. Over 3,000 unique wallets contributed, averaging $83,629 per address, highlighting strong retail and institutional interest in the platform’s stablecoin-focused infrastructure [1]. The oversubscription rate—nearly sevenfold—underscores growing demand for blockchain solutions addressing scalability and cross-border payment efficiency [2].

Plasma’s founder, Paul Faecks, emphasized the project’s role in advancing stablecoin infrastructure during a period of heightened regulatory scrutiny. “At a time when global regulators are focused on digital assets, and specifically stablecoins, Plasma is delivering critical infrastructure that will spur institutional adoption,” Faecks stated [1]. This aligns with recent legislative developments, such as the Trump administration’s July 18 enactment of the GENIUS Act, which marks the first U.S. Congress-approved crypto-specific legislation targeting stablecoin oversight [1].

The project’s technical design combines Bitcoin’s UTXO model with Ethereum’s Virtual Machine to enable fee-free USDT transfers, aiming to bridge Bitcoin’s security with Ethereum’s programmability [1]. This hybrid approach differentiates Plasma in a crowded Layer 1 space, where competing protocols often prioritize one model over the other.

Plasma’s fundraising momentum builds on prior capital infusions, including a $3.5 million seed round in October 2024 led by Bitfinex and a $20 million Series A in February supported by Framework Ventures and Peter Thiel’s Founders Fund [1]. These rounds, coupled with the recent public token sale, position Plasma as one of 2025’s most capital-backed blockchain initiatives.

The token sale’s decentralized participation model—engaging a broad base of contributors—contrasts with traditional venture capital-centric fundraising. This approach could foster long-term ecosystem sustainability by distributing ownership and incentivizing network governance. However, the project’s success will ultimately depend on its ability to execute technical milestones and maintain security standards, given past controversies involving Bitfinex’s operations [1].

Market analysis suggests that Plasma’s rapid fundraising reflects broader investor appetite for blockchain projects with clear use cases and institutional partnerships. The oversubscription rate indicates confidence in the team’s execution capability and the platform’s potential to address stablecoin infrastructure gaps. While the data does not include projected performance metrics, the immediate success of the token sale signals robust short-term momentum [2].

Source:

[1] [Bitfinex-backed Layer 1 Plasma raises $373 million in 10-day token sale](https://www.theblock.co/post/364476/bitfinex-backed-layer-1-plasma-raises-373-million-in-10-day-token-sale)

[2] [Plasma Token Sale Oversubscribed 746% to $500M Valuation](https://www.ainvest.com/news/plasma-token-sale-oversubscribed-746-500m-valuation-10-days-2507/)

[3] [Bitcoin News Today: Plasma Token Sale Raises $373M in 10 Days](https://www.ainvest.com/news/bitcoin-news-today-plasma-token-sale-raises-373m-10-days-hits-500m-valuation-2507/)