STEPN is the most popular game of this year, built on the mechanics of moving to earn ( walking or running = earnings). The project has two tokens: GST and GMT. GST is a gaming token that has a very simple principle. Players walk or run in NFT shoes – GST farms. Players spend the token using various game mechanics – GST is burned.
Application of GMT
GMT is the governance token of the project. It was he who at the very beginning was distributed among the various aspects that form the STEPN ecosystem.
The mint of the GMT token first took place at the Token Generation Event (TGE) on March 9, 2022, and the total supply of tokens is capped at six billion.
Owners of GMT governance tokens can decide which needs of the project to allocate funds. GMT holders can increase their influence by staking tokens in the STEPN pool for a longer period of time. The longer the placement period, the higher the voting power.
Already, the GMT token is used in the game for crossing, crafting, and leveling up sneakers. Other methods of burning GMT will be introduced very soon. In addition, it will finally be possible to earn it, as it is now GST.
Who owns STEPN GMT?
According to the STEPN white paper, the distribution of the total supply of GMT tokens is as follows:
- 30% will be distributed among users through participation in the game and project management
- 30% reserved for STEPN treasury
- 16.3% allocated for private sale
- 14.2% for the project team
- 7% for sale on the Binance launch pad
- 2.5% for advisors and project consultants.
30.5% of GMT is intended for private sale and the project team is blocked, and the rollout will not begin until 2023. When GMT farming is introduced, every day a certain amount of GMT will be released from the lock in order to pay rewards to players.
It is also worth noting that the total output of GMT is halved every three years. This allows this asset to be deflationary. Ultimately, by 2030, it is planned to release all GMT into circulation.
Listing
The GMT token sale took place from March 2 to March 9 on the launchpad of the Binance exchange. As we mentioned above, 7% of the total supply, that is, 420 million GMT, was allocated for this.
As part of the public sale, the token cost only $0.01. The token sale format was a subscription. That is, users were blocked by a certain amount of local cryptocurrency BNB, and at the end of the token sale, they received GMT tokens equivalent to the amount of blocked BNB. Since then, the STEPN GMT coin has appeared on the Binance exchange, that is, the listing took place on March 9th.
STEPN (GMT) is listed on the following major exchanges today, according to CoinMarketCap:
- Binance
- OK
- Huobi
- KuCoin
- FTX and others.
GMT on the market
There are currently 600 million GMT in circulation, which corresponds to 10% of the total supply. The remaining 90% have not yet been put into circulation.
The market capitalization is almost half a billion dollars. But it should be borne in mind that only one-tenth of all GMTs are in circulation. And the increase in supply contributes to the growth of capitalization.
At the time of this writing, the GMT rate is $0.7891. At its peak, the price reached $4. For ease of calculation, we also give the GMT exchange rate to the ruble: 47.50 ₽, at the peak – 304.36 ₽. In the chart below, you can see how the token exchange rate has changed over the entire period of its existence since the listing.
The overall picture indicates a completely logical movement of the token in a bear market. But there are other factors affecting the price, let’s consider the main one.
GMT и Communicate
If we talk about what the GMT rate depends on, then the first and strongest factor will, of course, be Solana. It was on the Solana blockchain that the GMT token was issued, and it cannot but depend on this ecosystem.
To track the dependence of the dynamics of the GMT rate on the rate of the Solana, let’s try to superimpose the charts on top of each other and track the dependence. The period is three months.
So, from mid-May until the 26th, there were no global deviations. Moreover, during this period, the charts practically hold the same level, except that GMT has deeper points of growth and decline.
But the 26th is the very day when the BNB network collapsed and, accordingly, not only GST but also GMT sank heavily because the situation hit the STEPN project hard. In general, this is the only area on the chart where the difference in dynamics stands out strongly.
However, by May 30, the situation had stabilized, and the GMT token began to follow SOL again. It can be traced that any fall in the Solana predicts a fall in GMT. The naked eye is even unlikely to notice the difference between the graphs unless they are superimposed on each other.
Forecast And Prospects
More recently, the creators of STEPN told us the details of earning GMT in the game. As soon as the corresponding STEPN update is released, the circulating supply of GMT will begin to rise, and hence its rate.
Also, the GMT forecast may be affected by the distribution of coins among investors, which starts in February 2023. No one knows whether the funds will merge the token at the first opportunity at any price, or will hold it until better times. But it is important to take into account that on the Binance launchpad GMT started at $0.01, but the funds purchased this token even cheaper. Accordingly, in any case, they will be able to make good money. So there is a risk of a fall in the exchange rate at the beginning of 2023.
However, there is the prospect of increasing community interest in the project. If STEPN starts to raise the economy of the project by introducing various offline events and collaborations with physical brands, the value of both project tokens may increase.
Well, we continue to watch the development of STEPN with interest and believe in the growth of GMT, because everything indicates that it is on it that most of the game’s ecosystem will soon be built.
