Plasma Token Sale Oversubscribed 746% to $500M Valuation in 10 Days

Plasma, a Layer 1 blockchain platform backed by Bitfinex, has completed a $373 million token sale in just 10 days, exceeding its initial $50 million target by over sevenfold [1]. The oversubscribed offering, which concluded on July 18, valued the project at $500 million after selling 10% of its 1 billion XPL token supply [1]. Approximately 3,000 unique wallets participated, with an average commitment of $83,629 per address [1]. Paul Faecks, Plasma’s founder, emphasized the project’s mission to create a “low-cost, fast, programmable blockchain for global stablecoin transfers,” positioning it as critical infrastructure for institutional adoption amid evolving regulatory scrutiny [1].

The token sale follows recent legislative action in the U.S., where President Donald Trump signed the GENIUS Act—a stablecoin-focused bill—marking the first crypto-specific legislation passed by Congress [1]. Plasma’s architecture, which merges Bitcoin’s UTXO model with the Ethereum Virtual Machine, aims to enhance Bitcoin’s functionality while enabling fee-free USDT transfers [1]. The project had previously raised $3.5 million in October 2024 from Bitfinex, Split Capital, and Tether CEO Paolo Ardoino, followed by a $20 million Series A led by Framework Ventures and Peter Thiel’s Founders Fund in February [1].

The success of the token sale highlights growing investor appetite for blockchain infrastructure capable of addressing scalability and cross-chain interoperability [1]. Plasma’s hybrid consensus model—combining proof-of-stake with off-chain validation—seeks to reduce transaction costs while maintaining security, a challenge for many existing Layer 1 networks [1]. Despite Bitfinex’s ongoing legal and reputational challenges, including investigations by the SEC and New York Attorney General’s office, the market appears focused on Plasma’s technical merits [1].

Arkham’s data reveals nearly $1 billion in stablecoins held in USD vaults, primarily AETHUSDC and AETHUSDT, underscoring demand for solutions like Plasma [1]. The project’s roadmap includes accelerating development, expanding its team, and forming strategic partnerships, with funds also allocated to a public mainnet launch and integration with DeFi platforms [1]. However, the competitive landscape remains challenging, requiring Plasma to attract developers and users to sustain its growth [1].

Source: [1] [The Block: 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]