Metal DAOPrice

(MTL)

Metal DAO (MTL) is the governance token for the Metallicus ecosystem, originally an ERC-20 token on Ethereum. It has recently migrated to Metal L2, an Ethereum Layer 2 scaling solution built on the Optimism Superchain. Its primary purpose is to allow the community to govern the Metal Dollar (XMD) stablecoin and provide utility within the Metal Pay app, linking traditional finance with decentralized applications.

MTL offers several key utilities. Firstly, it grants governance power, allowing holders to propose and vote on the composition of the Metal Dollar (XMD) stablecoin basket. Secondly, within the Metal Pay app, MTL holdings provide tiered trading fee reductions, with significant holdings (e.g., 10,000+ MTL) enabling 0% fees on crypto purchases. Lastly, in the new Metal L2 ecosystem, MTL functions as a gas token, facilitating transaction fee payments and incentivizing liquidity providers on decentralized exchanges.

The Metal DAO underwent a significant migration in June 2024, moving its token from Ethereum to the new Metal L2 network, an Optimism-based scaling solution. A snapshot of v1 token holders was taken on June 24, 2024, followed by a 1:1 airdrop of the new MTL v2 token on June 26, 2024, to eligible wallets. While many major global exchanges automatically supported this migration, certain platforms required users to transfer their funds to self-custodial wallets to receive the v2 tokens and resume trading, as they did not support the airdrop directly.

The Metal Dollar (XMD) is a stablecoin index governed by the Metal DAO. Instead of being backed by a single entity, it is collateralized by a "basket" of established, reserve-backed stablecoins, currently including USDC, PYUSD, and USDP. MTL holders actively participate in governance by voting on the weightings of these underlying stable assets. This diversified approach aims to enhance overall stability and mitigate the risks associated with the potential de-pegging of any single stablecoin component within the index.

Governance for Metal DAO is decentralized and open to MTL holders. To participate, individuals can visit the official governance portal, often hosted via the XPR Network dashboard. Here, users can review active proposals, engage in discussions with the community to understand different viewpoints, and ultimately cast their votes. Voting power is proportional to the amount of MTL tokens held. For major protocol changes, a quorum, typically set at 40% of voting power, is required for a proposal to pass.

Confusion often arises due to their similar names, but MTL and METAL serve distinct roles within the broader Metallicus ecosystem. MTL, or Metal DAO, is a governance and utility token primarily operating on Metal L2 and Ethereum, focused on governing the Metal Dollar stablecoin and providing app benefits. In contrast, METAL is the native coin of the Metal Blockchain, which is a separate Layer 0/1 sovereign chain. While both are part of Metallicus, MTL functions at the Layer 2 application level, whereas METAL powers the foundational Metal Blockchain itself.