Towns Protocol Announces Q2 Token Launch After $10M Funding Round

Web3 social application Towns Protocol has announced that it will conduct its Token Generation Event (TGE) in the second quarter of this year. The TGE will involve the launch of the TOWNS token, with a total supply of 10 billion tokens. Notably, the initial airdrop ratio is set at 10%, and the tokens will be issued on both the Base chain and Ethereum.

This development comes on the heels of Towns Protocol's successful Series B financing round, which was completed on April 11. The round raised $10 million and was led by a16z crypto, with participation from Coinbase Ventures and Benchmark. This investment follows Towns Protocol's Series A financing round in February 2023, which also saw a16z crypto as the lead investor, raising $25.5 million.

The decision to conduct the TGE in the second quarter is a strategic move by Towns Protocol. By issuing the tokens on both the Base chain and Ethereum, the company aims to leverage the strengths of both blockchain platforms. The Base chain, known for its scalability and low transaction fees, will likely attract users seeking efficient and cost-effective transactions. Meanwhile, Ethereum's established ecosystem and widespread adoption will provide a broader user base and liquidity for the TOWNS token.

The 10% initial airdrop ratio is designed to incentivize early adopters and community members. This airdrop will not only help in distributing the tokens widely but also in creating a sense of ownership and engagement among the users. The airdrop is a common strategy in the crypto world to build a loyal user base and foster community growth.

Towns Protocol's decision to launch the TGE in the second quarter is a significant milestone for the company. It reflects the growing interest and investment in Web3 social applications, which aim to create decentralized social networks that give users more control over their data and interactions. The successful financing rounds and the upcoming TGE indicate that Towns Protocol is well-positioned to capitalize on this emerging trend.