Sophon launched its main blockchain network with a locked value of $500 million

Sophon It launched its mainnet, introducing the first Validium on the Avail network. It has over $500M in Total Value Locked (TVL) through its Sophon farming program and a growing ecosystem of founding partners.

It paves the way for scalable, consumer-focused blockchain applications, Sophon said. The launch comes with huge support from the community: over 120,000 node licenses purchased by over 5,800 unique participants are now available to claim.

The SOPH token is deployed today in a non-transferable state, with all transactions free for users during this initial phase. Contract holders will begin receiving rewards from January 1, with the token expected to be fully transferable and traded in the first quarter of 2025.

What does it mean

Asked for more details and some translation of terminology, the company said that Sophon is a platform for developers to build the next generation of consumer applications on. Technically, it is a blockchain that leverages Validium technology, which means that transaction data is processed from the main Ethereum blockchain while maintaining security.

This helps achieve higher speeds and lower costs compared to traditional blockchains. Sophon is the first project to do this using Avail’s data availability network. In general terms, this technology stack makes Sophon an optimized platform for high-throughput consumer applications. This is important because it means that Sophon can handle many transactions (such as game moves, social media interactions, ticket purchases, etc.) at much lower costs than traditional blockchain platforms.

The total locked value of $500 million represents the digital assets deposited by users in Sophon’s initial rewards program. Participants can earn Sophon Points by providing liquidity, which will be convertible into SOPH tokens when it launches in Q1 2025. This large amount of deposits indicates great confidence in the platform, similar to how a neobank is perceived to attract 500 Million dollar deposits are a strong sign of customer confidence.

In April 2024, Sophon sold what are essentially “operating licenses” for parts of its network – similar to the way taxi medallions give drivers the right to operate taxis. 5,800 different buyers purchased 120,000 of these licenses (called nodes) for a total of $60 million. These node operators will help run Sophon’s digital infrastructure. As compensation for their service, they will receive two types of rewards: a share of the network’s transaction fees (similar to how credit card companies earn small fees on purchases), as well as 20% of all SOPH tokens (Sophon’s native token) that will be generated from ever.

Sophon created its own token (SOPH), but it is currently in a controlled launch phase, meaning users are unable to transfer or trade it. The entire width is controlled by Sophon. During this phase, Sophon covers all transaction costs for users. Starting in Q1 2025, SOPH tokens will become freely transferable and tradeable (like any other digital currency), and node operators will start earning their rewards. This phased approach helps ensure a stable launch of the platform.

Launch partners drive adoption

Sophon’s consumer-first approach focuses on delivering user experiences that encourage mainstream participation in the cryptocurrency space.

The company’s launch partners include industry leaders selected for their ability to bring the benefits of blockchain to everyday users. They include:

Mirai: A mobile game studio whose game Petopia introduces cryptocurrency to casual mobile gamers with familiar gameplay. Ranking #1 in casual games on both the iOS and Android stores with over 100,000 players in alpha and a rating of 4.8/5, Petopia shows how blockchain gaming can appeal to traditional gamers. When these players make in-game purchases or exchange items, each transaction generates network fees that flow to contract holders and stakeholders. Mirai Labs has a track record of setting up 27 million new cryptocurrency wallets via its game Pegaxy (on the Polygon network).

OPEN: Bringing major event goers to crypto through digital tickets. Having processed more than 7 million NFT tickets for concerts and sporting events, OPEN is introducing blockchain technology to people who may not have used cryptocurrencies before. Every ticket sold and resold creates transaction volume on Sophon, with the US ticket market representing more than $12 billion in potential annual activity – all of which generates fees that reward network participants.

Compete: Qualify sports fans for cryptocurrencies through betting. Their 2 million active users, who place over $1 billion in annual bets, will interact with blockchain technology seamlessly through Sophon when placing bets and collecting winnings. Each bet and payout represents an economic activity that benefits contract holders and stakeholders through network fees.

NooN: Making cryptocurrencies accessible to traditional savers by offering familiar savings account features powered by blockchain technology. By working with institutions managing $500 million in assets, NooN will help attract traditional finance users to cryptocurrencies. User deposits, withdrawals, and payout distributions all generate network activity that rewards Sophon infrastructure providers.

Aethir: Introducing cloud computing users to decentralized alternatives through their GPU marketplace. After processing more than 100,000 GPU hours in the testnet, they are bringing Web2 developers and AI researchers into the cryptocurrency space. Each algorithmic verification creates activity that generates fees and flows to participants in the Sophon network.

Together, these partners represent a gateway for millions of traditional internet users to access cryptocurrencies through familiar apps, while generating billions in potential annual transaction volume on Sophon (the platform these apps run on). This economic activity directly rewards node owners and stakeholders through network fees and increased platform usage. Rather than requiring users to understand blockchain technology, these apps make using cryptocurrencies as simple as playing a game, buying a concert ticket, or placing a sports bet — while ensuring that those who maintain the network participate in its success.

Additional gaming partners include Brutal Knights (50,000 pre-registered users) and Gamp ($3 million in funding), both focused on bringing major players into crypto through engaging gameplay. More to come

Leading consumer-first encryption

Sophon realizes that everyday users don’t care about blockchain technology – they care about experiences and value. By focusing on entertainment applications that naturally leverage blockchain capabilities, Sophon is creating an ecosystem where technology improves the user experience rather than complicates it.

This vision is reinforced through strategic collaborations with industry leaders, such as Beam, which is launching the first gaming-focused fund and accelerator in Abu Dhabi with a target size of $150 million.

Sophon is a strategic partner in this accelerator, supporting the development of blockchain-based games. Additionally, Sophon has funded a $40 million Tactical Computing Initiative (with Aethir), which targets projects being built at the intersection of cryptocurrencies and AI. These partnerships ensure that Sophon is not just building infrastructure, but contributing to the growth of the entire ecosystem.

Make big moves

The Sophon mainnet launch is the first Validium ever to use Avail’s external data provisioning layer, providing unparalleled scalability, security, and provisioning. By using Avail’s modular application development kit to create its own Light Nodes, Sophon ensures high performance, maintaining complete decentralization and data availability, setting a new standard for modular blockchain designs.

“Sophon embraces the full potential of the Avail network, demonstrating how blockchain can maintain provable decentralization even in high-volume use cases like entertainment,” Anurag Arjun, co-founder of Avail, said in a statement.

This modular architecture not only sets a new standard in blockchain design, but also makes Sophon ideal for high-throughput applications looking for mainstream adoption.

“We are building the future of entertainment on-chain,” Sophon CEO Sebastian said in a statement. “Our integration with Avail enables us to deliver the scalability and performance that mainstream applications demand, while maintaining the security and decentralization that blockchain technology promises.”

Sophon wants to be the go-to platform for next-generation entertainment applications, covering everything from gaming to AI-powered experiences.

the Utilitarian network It is a modular application development kit designed to create blockchain as the verification system for the Internet.