STEPN (GMT), is a move-to-earn token created on the Solana (SOL) blockchain. Since the GMT token was released in early March it has skyrocketed in price. STEPN is a “Web3 lifestyle app” or game that lets users earn tokens by walking, jogging, or running outdoors.
STEPN (GMT) sat at $0.01 on March 9th and has continuously risen to reach its new all time high (ATH) of $3.45 today. The price increase is over 33,000% percent in just over 40 days time. The rising price seems to be attributed to the buzz around decentralized finance (DEFI) projects that reward users for staying physically active. Both GMT and competitor tokens Genopets (GENE) and Dotmoovs (MOOV) all have had major price increases in the past week.
STEPN (GMT) is the most valuable move-to-earn (M2E) token project currently as its market capitalization leads its competitors and sits just under $2 billion dollars.
Why is the GMT price rising?
The most likely reason for the price increase is STEPN’s earnings report. The report showed that that STEPN profited over $26 million from “royalty fees” and the sales of its NFT sneakers in Q1 2022. IN order to play the STEPN game, users must purchase the NFT sneakers. The current floor price for the NFTs sits at around 11.5 SOL, or $1,218. The NFT sneakers allow the users to earn in game tokens named Green Satoshi Tokens (GST). Users can later swap the GST tokens for Solana (SOL). STEPN takes the profits from the game and uses it to buy GMT tokens which act as the governance token. STEPN then burns the GMT tokens, removing them from circulation.
Other reasons for the price increases include the STEPN game recently surpassing 300,000 users. They also just signed a new partnership with ASICS to release ASICS branded NFT sneakers within the game. The launch of the ASICS NFT collaboration and partnership was launched on the Binance NFT marketplace.