In the past six months, the growth rate of Momentum has been quite remarkable.
Since its launch at the end of March, in just half a year,
TVL has surged to 270 million USD, with a cumulative trading volume exceeding 26 billion USD,
firmly sitting at the top of the SUI ecosystem.
Just from protocol fees alone, it has accumulated over 15 million USD,
based on the current growth curve, it is projected to be about 45 million USD annually.
What does this indicate?
It indicates that it is not just "popular", but has truly generated cash flow.
Returning to the valuation that many are concerned about.
I have always believed that Momentum cannot be valued using traditional DEX methods.
It follows the ve(3,3) model, and the brilliance of this mechanism is that—
transaction fees no longer flow to liquidity providers but are 100% distributed to governance participants;
protocol income is no longer "half taken", but fully returned to $veMMT holders,
even with the potential for “bribery rewards” to be stacked.
In other words, this model inherently possesses stronger lock-up stickiness and endogenous returns.
Its value is not in how high the token can be speculated,
but in its real ability to generate money, and to continue generating money.
From a valuation perspective, if we base it on an annualized protocol fee of 45 million USD,
using a reasonable pricing of 12x PE for core DEX in the ecosystem,
the circulating market cap is around 540 million USD,
based on the current circulation of approximately 20.4%,
FDV's reasonable range would fall between 2–3 billion USD.
Even considering a conservative market sentiment,
1–1.5 billion USD FDV is still a relatively stable range.
Looking further ahead, Momentum is actually on a fairly clear path:
If this cycle of SUI can reach a market cap of 50–80 billion USD,
then as the core DEX of the ecosystem, Momentum,
a reasonable proportion is about 10%—
which means a potential space of 5–8 billion USD FDV.
I always feel that the story of Momentum has not yet reached its climax.
It is not the type of project that starts off by "throwing money to mine",
instead, it is more like one that slowly proves itself using data, models, and mechanisms.
The TGE has not started yet, but the momentum is already accumulating.
This wave, Title Deed, airdrop registration, ve(3,3)**
all seem to be warming up for that moment.
Wait a little longer,
the real show should be starting soon.
#Momentum #DeFi @MMTFinance
#TGE