LINEA price faced a sharp correction after it secured listings on multiple exchanges, including Binance and Bybit, as investors locked in profits by selling their airdropped tokens.
- LINEA price has fallen over 50% from its launch day high after it secured multiple exchange listings.
- 9.36 billion tokens were distributed to 749K wallets during its token generation event.
On Sep. 10, LINEA, the native token of the Ethereum Layer 2 scaling solution Linea, secured a listing on top-tier exchanges Binance, Bybit, OKX, and Bitget. Other major platforms that added support for the token included Crypto.com, KuCoin, Gate US, HTX, MEXC, and Upbit.
The Token Generation Event (TGE) established the total supply of LINEA tokens to around 72 billion. Out of this, 15.8 billion tokens reportedly entered circulation after the event.
While full details of the token’s tokenomics remain unclear at press time, the TGE event reportedly distributed around 9.36 billion tokens to about 749,000 eligible wallets. No tokens were allocated to insiders or developers at this stage.
As per a statement from the Linea team, the airdrop was part of its broader incentive strategy to reward early users, contributors, and ecosystem partners.
Recipients have until Dec. 9 to claim their tokens. Any unclaimed allocations after this deadline will be returned to the Linea Consortium Ecosystem Fund and will be used to support the growth of both the Linea and Ethereum ecosystems.
LINEA price initially surged 53% from its launch price of $0.030 to a peak of $0.046 amid community hype following high-profile exchange listings. However, the price later dropped to $0.023, down 50% from its recent high and 20% on the day, as investors sold off their holdings to book in profits.
Such an occurrence is quite common in the crypto space. As reported earlier by crypto.news, TREE, the native token of DeFi protocol Treehouse, faced a similar selloff just a day after its listing on multiple exchanges, including Binance and Bitget.
The recent drop may not mark the end of the action, especially as Linea has announced the upcoming “Linea Ignition” program, which will distribute an additional 160 million LINEA tokens to users of Aave, Euler, and Etherex starting next week (BlockBeats).
This could prompt more users to sell part of their holdings in anticipation of further price declines, potentially triggering a cascading sell-off that will put more selling pressure on the token in the short-term.
What is Linea?
Linea is a zkEVM Layer 2 scaling solution built by ConsenSys, designed to offer low-cost, high-speed Ethereum-compatible transactions while preserving Ethereum’s security guarantees.
It operates using a Type 3 zero-knowledge rollup architecture, which allows developers to deploy standard Ethereum smart contracts without rewriting code. This ensures near-native EVM compatibility, making it easy for existing dApps and tooling to migrate from Layer 1.
Linea bundles thousands of off-chain transactions into a single succinct validity proof, which is then posted to Ethereum mainnet, reducing gas fees while significantly increasing throughput.
Though the LINEA token is not yet used for governance or staking, it serves as the core unit for ecosystem incentives. Airdrops and campaigns such as Linea Voyage and Linea Ignition have distributed billions of tokens to early users, DeFi participants, and builders.
Linea’s ecosystem includes integrations with major DeFi protocols such as Aave, PancakeSwap, Yearn Finance, Galxe, and Beefy, and continues to grow through its ecosystem fund and builder programs.
