Coinbase Reveals Monad Token Sale Document: From Public Sale Mechanism to Market Making System, Creating the First "IPO-Level" Transparency Template.

The American exchange Coinbase has published the “Monad / MON Token Disclosure” document, officially revealing the full details of the upcoming MON public token sale. This nearly 20-page disclosure not only clearly outlines the fundraising conditions and distribution mechanisms but also, with the transparency of traditional finance, sketches out a public issuance system similar to 'IPO level' for the crypto market for the first time.

Highlight 1: Coinbase is bringing crypto public sales into the “pseudo-IPO” era.

The public sale is priced at 0.025 USD per MON, implying a valuation of 2.5 billion USD (FDV), with a sellable quantity of 7.5 billion (accounting for 7.5% of the total supply). The document indicates that Coinbase employs a rare “filling up from the bottom” mechanism, allowing small investors to receive priority allocation to prevent large users from monopolizing.

This system design is equivalent to the “fair allocation principle” of traditional IPOs, and it is rare for the encryption industry to regulate the token sales process in document form.

Highlight 2: The foundation and the development company have a separate structure, and the funds are transparent.

The document details the legal and governance structure of the Monad ecosystem:

Monad Foundation (Cayman Islands) is a non-profit organization responsible for ecological development and governance, with no shareholders.

Category Labs (United States) is a profit-driven development company responsible for technical development and maintenance.

Category Labs donated $90 million to the foundation in 2024, ensuring that its operating funds can support it until 2026.

This clear distinction between finance and control design makes the interests of token holders, development teams, and investors easily identifiable. In addition, all team and investor tokens are locked for one year, fully released after four years, and during the lock-up period, staking participation in consensus is prohibited to prevent internal power concentration.

This structure is extremely rare in the encryption industry, yet it meets traditional corporate governance standards and clearly demonstrates a regulatory orientation and a long-term design.

Highlight 3: Technical disclosures are honest and rare, emphasizing risk transparency.

The last 10 pages of the document detail the risk disclosures extensively, with over forty items divided into technical and governance categories, covering:

MonadBFT consensus risk

RaptorCast Broadcasting Protocol

MonadDB database integrity

Behavior changes that may be triggered by asynchronous execution and the new Gas mechanism

The document does not shy away from pointing out potential errors, network attacks, and even threats from quantum computing; such a degree of honest disclosure is rare. Among the numerous projects claiming to be “high-efficiency Layer-1”, Monad's technical description resembles a “blockchain risk white paper” that can be reviewed by regulatory authorities.

Highlight 4: The market-making and liquidity section reveals the prototype of the “crypto stability pricing system”.

Another underrated highlight of this document is its level of disclosure regarding “market making and liquidity” in the secondary market, which almost reaches the standards of traditional listed companies.

MF Services (BVI) According to the document, short-term coin lending agreements have been signed with multiple market makers:

Market Maker Loan Amount Contract Duration CyantArb 50 million MON 1 month (renewable) Auros 30 million MON 1 month (renewable) Galaxy 30 million MON 1 month (renewable) GSR 30 million MON 1 month (renewable) Wintermute 20 million MON 1 year

At the same time, the foundation has reserved up to 0.2% of the total supply as initial liquidity for the DEX. All loaned tokens belong to the “Ecosystem Development allocation” and are monitored by the third-party organization Coinwatch for their usage and idle status.

This design introduces the concept of “IPO stable price operation system” in the crypto market — short-term lending provides liquidity at the time of listing, while long-term lending maintains market depth, with independent regulators tracking operational behavior.

In the past, the common “dark pool market making” of Token issuance made such transparent mechanisms extremely rare, and it represents that Coinbase is promoting a liquidity compliance framework that can be recognized by regulators.

Coinbase is using Monad as a template to establish a “new order of auditable token issuance”.

From the perspective of TradFi, the “MON Token Disclosure” is structurally rigorous and comprehensively discloses, featuring four major breakthroughs:

Public offering mechanism transparency - pushing crypto public sales towards a regulated “IPO level” standard.

Legalizing the governance structure - clearly distinguishing the rights and interests of the foundation, the development company, and the investors.

Documenting Technical Risks - Disclosing potential technical and operational risks with a high degree of honesty.

Market-making behavior transparency - Introducing a stable pricing system based on financial regulatory logic.

This document is not only a disclosure document from Monad, but also resembles a “new prototype for token public offerings” that Coinbase is drafting for the entire crypto market. In the future, if more startups launch their token sales in the same manner, Coinbase is likely to become the “Nasdaq issuance center” of the encryption world.

This article reveals Coinbase's Monad Token sale document: from public offering mechanisms to market-making systems, creating the first “IPO-level” transparency template, first appearing in Chain News ABMedia.