On March 24, United States-based blockchain company Solana successfully sold all of its tokens via a "Launch Auction" hosted past crypto fundraising house CoinList.

Solana raised $1.76 million from 445 bids placed from 91 dissimilar companies. eight million SOL tokens were distributed at $0.22 each. ane,416 prospective investors had registered to participate.

CoinList's Launch Auction token issuance model comprises a "Dutch sale" — where the bidding for a token begins at an initial price ceiling which is dropped by a fixed corporeality periodically.

Investors bid for the number of tokens that they wish to buy at a given cost until either all tokens are sold or the price drops down to a reserve price fix by the issuer. Solana had set its price flooring at $0.04 per token.

Solana Launch Auction sells out

In total, Solana has raised $25.six million through issuing 186 one thousand thousand tokens or 37.two% of its total supply across 4 fundraising rounds.

In its seed round the business firm raised $3.2 million from 79.4 1000000 tokens at $0.04 per token, before issuing 63.ii 1000000 tokens at $0.20 each to raise $12.6 meg, followed by its validator round which raised $5.7 million through issuing 25.iii million tokens at $0.225 per token. Solana will also issue a farther ten million tokens through its forthcoming strategic round.

Given the volatility beyond all markets and the uncertainty caused by COVID-nineteen, we detect these figures especially impressive," said CoinList.

Solana claims to offering greater scaling efficiency owing to its "Proof-of-History" protocol.

Dutch auction shows promise as crypto fundraising method

Though not as widely known as initial money offerings (ICOs) or initial substitution offerings (IEOs), the cryptocurrency industry is no stranger to Dutch auctions.

In June 2022, the Algorand Foundation raised $60 million in a Dutch auction that issued 25 meg ALGO tokens. The offering began at $ten per token, with the price being driven downward to $2.40 over the form of four,000 rounds of bidding.

In 2022, crypto business firm Gnosis introduced plans to launch a decentralized exchange for ERC-twenty token issuances modeled on Dutch auctions. While Gnosis has since stepped abroad from dxDAO, the platform exchange is still operating today.