The cryptocurrency world is no stranger to sharp price fluctuations, but one trader recently experienced a dramatic $2 million loss during the launch of Monad’s (MON) token. The incident offers a cautionary tale for those navigating high-risk investments in the ever-volatile crypto landscape.
What Happened?
On November 30, 2025, a crypto trader incurred approximately $1.9 million in realized losses after making a series of aggressive long positions on Monad’s freshly launched MON token. The aggressive trading strategy backfired as MON experienced violent price oscillations just hours after its debut on secondary markets. This volatility was confirmed by on-chain data analyzed by Finbold via Lookonchain.
Trade records highlighted multiple liquidations, including one amounting to a staggering $963,000, while others ranged between tens of thousands and well over $300,000. The trader’s entry point at $0.034 turned disastrous when a sharp intraday reversal caused MON to plunge, leading to a ripple effect of liquidations. Despite MON of surging nearly 99% at one stage, its rapid downturn erased gains in an instant.
The MON Token Launch
MON’s volatile debut followed one of Coinbase’s most highly anticipated token sales. The week-long event attracted 86,000 buyers across more than 70 countries, garnering $269 million in commitments — exceeding the initial allocation of $187.5 million by a factor of 1.43x.
Despite the initial hype, early trading activity proved far more unpredictable than the presale itself. MON launched with only 10.8% of its total supply of 100 billion tokens unlocked, allocated between a public sale at $0.025 and an airdrop. The majority of the tokens remained locked under team, investor, treasury, and ecosystem allocations, sparking debate within the community about the fairness of its distribution.
Market Sentiment and Industry Takeaways
Monad’s mainnet debuted alongside active applications and developers, driving immediate on-chain activity. However, not everyone in the crypto space is convinced of MON’s longevity. BitMEX co-founder Arthur Hayes expressed skepticism, arguing that many new Layer-1 blockchains lack the durability of Ethereum and Solana. He characterized MON as a “high-valuation, low-float token” susceptible to steep price declines once its initial launch excitement fades.
A Lesson in Volatility
For potential investors, this event underscores the importance of approaching new token launches with caution. High volatility, compounded by low circulating supply, can easily lead to rapid gains or staggering losses. Careful research and adherence to risk management strategies are essential for navigating such unpredictable markets.
Invest Smarter: Crypto Trading Platforms
If you’re exploring cryptocurrency investments, consider platforms designed for both beginner and experienced traders. One such option is eToro, a multi-asset investment platform offering features like copy trading, real-time market alerts, and access to stocks, crypto, and more. With over 30 million users worldwide, it offers tools to balance risk and reward effectively.
Remember, the cryptocurrency space is inherently volatile. Always conduct thorough research and consult financial advisors before investing.
