Aptos has had a rocky few days as the token price continues to fall.
Aptos (APT) is currently trading at the $7.59 price point. Data from CoinGecko shows that it is down 44.7% in the last 24 hours from a high of $13.73.
Notably, this is not the launch many expected, as Aptos was touted as the most scalable and secure Layer 1 blockchain. Consequently, many would have expected the price to pump following the launch of trading activities via listing on leading crypto exchanges. However, the reverse has been the case.
In a tweet today, Wu Blockchain shares the possible reason why. According to the Twitter crypto news outlet, Aptos launched an airdrop without strong protections against a Sybil attack. Consequently, some users who received huge amounts of the token in airdrops were allowed to sell the token on exchanges immediately after receiving them.
Wu Blockchain cites an example of a user selling over 189k APT in a single transaction, which immediately dropped the price from $15 to less than $13.
Exclusive: Aptos suddenly released an airdrop without strict anti-sybil attack, which led to some people getting a lot of airdrop tokens. Someone selling 189,567 APT directly on binance, resulting in the APT price from $15 to less than $13. pic.twitter.com/sE71UzRnSC
— Wu Blockchain (@WuBlockchain) October 19, 2022
It is worth noting that Aptos had chosen to reward participants in its testnet with airdropped tokens at the mainnet launch yesterday.
As previously reported by The Crypto Basic, the mainnet launch was marred by concerns within the crypto community over the project’s tokenomics and several issues faced with the blockchain. Notably, the delayed breakdown of the allocation of the 1 billion APT supply revealed a concentration of 51%, with developers and Venture Capitalists sparking concerns that they intended to dump on retail investors.
In addition, the blockchain failed to deliver on its scalability promise of 100k transactions per second (TPS), averaging only 4, which is even less than Bitcoin. Consequently, as reported, some popular traders have declared their intent to dump the token.
However, it is not all bad for the token, as it managed to leapfrog over 2000 places to rank 52nd among crypto projects by market cap. It currently boasts a market cap of about $969 million.