The LINEA token is buying and selling at a $2.7 billion pre-market valuation on Hyperliquid.
Ethereum Layer 2 community Linea is gearing up for its long-awaited token launch, however it seems that pre-market merchants are bearish on the Consensys-backed blockchain.
Linea introduced its upcoming token era occasion (TGE) on Sept. 3, with a goal launch date of Sept. 10. A pre-market spinoff was shortly launched on Hyperliquid and opened at $0.06 per token, implying a $6 billion valuation, however has since fallen to $0.027, or $2.7 billion.
The TGE will function an airdrop occasion with 10% of the overall provide distributed to early customers and builders, with one other 75% slated for Linea’s ecosystem fund, which is supposed to advertise and incentivize development of the community and its Ethereum-alignment mission.
Since Linea unveiled the 85% allocation to its ecosystem fund, chain metrics have began to select up, with stablecoin provide hitting an all-time excessive and native dApps experiencing substantial inflows.
Linea is backed by Consensys, a digital infrastructure agency led by Joe Lubin, an Ethereum co-founder and the chairman of the Ethereum treasury firm, Sharplink Gaming. The community goals to maximise worth returned to Ethereum by designating 20% of all internet transaction charges at Linea’s protocol stage to be paid in ETH and subsequently burned.
This buy-and-burn mechanism is one among Linea’s options to liquidity fragmentation within the Ethereum ecosystem. Up to now, Layer 2s have been accused of cannibalizing financial worth from the bottom layer.
Whereas exercise on the chain has picked up, its whole worth locked (TVL) has struggled all through all of 2025, falling to as little as $120 million in July from a excessive of $722 million in July 2024.
Nonetheless, community TVL has exploded over the past month to a brand new excessive of $1.17 billion, led by Aave on Linea, whose TVL elevated by 3770% within the final month and practically doubled within the final week alone after Aave introduced it could be part of the chain’s “Ignition” incentive marketing campaign.
The Ignition marketing campaign will run till Oct. 26, and can distribute 1 billion LINEA tokens, value $27 million at pre-market costs, to customers who deposit USDC, USDT, and wrapped ETH (WETH) on Aave, Etherex, or Euler.
