Mode (MODE): A Modular Ethereum L2 That Rewards Users

Layer 2 Ethereum networks are one of the most popular ways of handling modern blockchain transactions. Since they make the classic Ethereum system faster and more affordable, Layer 2s are ideal for creating DApps and web3 projects. Mode hopes to stand out from other Layer 2 ecosystems by offering some unique rewards for people who participate in its network. If you're interested in learning about all the profit opportunities available through Mode’s network, check out this helpful guide.

Key Takeaways:

• Mode is an Ethereum Layer 2 network that makes it easier and more efficient to develop web3 projects. 

• Its network uses a built-in rewards system that directly provides prizes to all people who build projects on Mode, or participate in its community in other ways.

• Looking to trade MODE tokens? Bybit now offers the MODE/USDT Spot trading pair. To celebrate this listing, Bybit is holding an exclusive event where you can earn a share of the 14,000,000 MODE prize pool.

What Is Mode?

Mode is an Ethereum Layer 2 network that makes it easier and more efficient to develop web3 projects. It uses a built-in rewards system that directly provides prizes to all people who build projects on Mode, or participate in its community in other ways.

History of Mode

Mode was founded byJames Ross, whose background is in economics. Ross previously created a DeFi growth consultancy, agency0x, and was the managing director of a blockchain marketing business called Hype Partners. Ross's work in the blockchain sphere encouraged him to start thinking about what made new crypto projects successful. Eventually, he decided to take his ideas and apply them to new economic systems that empower developers and encourage more equitable participation.

What Does Mode Aim to Achieve?

The Mode ecosystem arose out of a desire to create a more cooperative blockchain environment. Mode's founders noticed that most blockchain networks and projects aim to compete with each other, and tend to steal each other's users. While this does lead to some excellent projects gaining attention, it can also make it harder for innovative ideas to flourish.

The Mode team decided to apply the concepts of cooperative game theory to their blockchain network, rewarding contribution and cooperation and creating a system where everyone simultaneously profits. By rewarding developers for participating in its economic systems, Mode hopes to encourage network growth and allow a wide variety of blockchain projects to flourish.

How Does Mode Work?

The core functionalities of the Mode network run on Ethereum’s decentralized blockchain. As a Layer 2 network, Mode relies on Ethereum to maintain its security and process many of its transactions. Mode then includes a set of software and protocols that make it easier and faster for their clients to run projects. 

Mode’s underlying architecture is modular. Separate functionalities are divided into different layers. By handling aspects such as consensus and execution on their own separate chains, Mode becomes far more efficient. Its network also benefits from the inclusion of Optimism Bedrock technology. This free, open-source system provides excellent data compression, helping to further reduce fees and transaction times.

Features of Mode

A variety of features seamlessly interact in Mode’s economic systems. Following are the core features that users can access.

Mode Network L2

The Layer 2 chain in the Mode ecosystem has all the core functionalities of a classic Layer 2 network. By allowing users to access a more scalable system, Mode’s network ensures that transactions are as affordable and scalable as possible. As users conduct transactions on the Layer 2 network, they earn points that can be exchanged for rewards. Mode’s Layer 2 also particularly focuses on development, offering many helpful tools that let developers seamlessly interact with the network and create new projects.

Mode Flare L3

Flares are Layer 3 networks that provide developers with the option of creating application-specific chains. By allowing users to design their own chains for individual projects, the network provides significantly lower fees and sequencer fee sharing, which provides additional revenue to spur community growth.

Staking

Users with MODE tokens can choose to stake their assets as a way of participating in the network's economic systems. People who stake earn a multiplier on reward points, and they get to contribute to liquidity and help the network function properly.

Mode Yield Accelerator

Recently, Mode’s network announced the Mode Yield Accelerator to help developers flourish. Users can apply for assistance and grants to help them develop new projects. Shortly after introducing Mode Yield Accelerator, the network also announced that the accelerator would provide access to mentors from EigenLayer, Optimism, Renzo and many other popular blockchain projects.

MODE Airdrop

As part of its mission to encourage cooperation between community members, Mode regularly runs airdrops. These token distributions are a method of rewarding developers with extra tokens beyond the ones they earn from day-to-day participation. Here's what you need to know about all the airdrops Mode has announced so far.

Season 1

Airdrop Season 1 ran until May 5, 2024. The top 2,000 wallets by points within the Mode ecosystem received MODE tokens. Token distribution was in proportion to wallet rank, and users received a second batch of tokens if their first set remained in the system for 90 days. Airdrop claims will continue to be valid until Jun 5, 2024.

Season 2

Airdrop Season 2 runs from May 5, 2024 to Sep 6, 2024. This airdrop will include 500 million MODE tokens. Users can earn points for tokens, based on how much money they have in the Mode ecosystem and to what extent they participate in staking, lending and DEX services through Mode. Airdrop participants can also earn points by paying transaction fees on Mode.

Mode Road Map

Mode spent most of 2023 designing and launching its system. Now that the blockchain network is live, the network is focusing on encouraging more people to use its ecosystem. Through its airdrops and other community rewards programs, Mode hopes to boost user adoption and empower developers. The project has plans to collaborate with a variety of other projects, such as Standard Protocol, to help attract users to Mode’s network. 

Mode hasn't provided many details regarding plans to upgrade the technology behind its project any time soon, but it's possible the network may update its system in order to take advantage of the new proto-danksharding features found in the Optimism Ecotone update.

MODE Tokenomics

The MODE token is an essential part of managing the Mode ecosystem. It's used for governance and is distributed as a type of user reward for certain behaviors. There are 10 billion MODE tokens, with an initial circulating supply of 1.3 billion. All of these tokens will be distributed according to the following simple plan:

• User and developer airdrop rewards: 35%

• Foundation and on-chain treasury: 27%

• Investors: 19%

• Core contributors: 19%

MODE Price Prediction

MODE is still a fairly new token, but there’s already a lot of speculation about its price. After briefly achieving an all-time high of $0.1477 when it debuted on May 7, 2024, MODE's price has now dropped to around $0.04. Some crypto analysts forecast slow yet steady growth for the rest of 2024. 

Techopedia suggests MODE will reach $0.12 by the end of 2024 and maintain an average price of around $0.085. DigitalCoinPrice is also positive, with its analysts predicting MODE’s price could reach highs of $0.0957 by the end of 2024 and $0.34 by 2030.

Where to Buy MODE

Looking to trade Mode tokens? Bybit now offers the MODE/USDT Spot trading pair. To get started, you’ll first need to create a Bybit account, then fund it with cryptocurrency, and navigate to the MODE/USDT Spot trading page.

To celebrate this listing, Bybit is holding an exclusive event where you can earn a share of the 14,000,000 MODE prize pool.

Is MODE a Good Investment?

MODE may be a good option for investors who want a reliable crypto with the potential for some big price spikes. It’s been quite steady so far, and its utility within the Mode ecosystem will also help to stabilize prices. Mode is also getting a decent amount of positive press, and having many social media fans praising its crypto can help its price rise even further.

However, don't forget that all cryptocurrencies come with some inherent risk, especially when they're linked to a brand-new project. Mode still has to prove itself and stand out from other Ethereum Layer 2 networks. If something goes wrong within the Mode ecosystem, MODE prices are likely to fall. Investors need to take steps to protect themselves in case of an unexpected drop in price.

Closing Thoughts

Mode’s Ethereum Layer 2 network rewards contribution and boosts user adoption with its unique system. In addition to offering standard Layer 2 features like faster transaction times, Mode is also particularly focused on cooperation. Its reward points system ensures that everyone benefits from network growth. These promising rewards have already attracted quite a few web3 projects to the Mode ecosystem, so big things may be in store for the MODE token.

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