Magic Eden, the prominent NFT marketplace turned multi-chain crypto platform, has announced a major new revenue-sharing program for its native ME token. Starting February 1, the platform will allocate 15% of all its revenue to the ME token ecosystem. This marks a significant pivot for the company as it seeks to deepen its Web3 integration and reward its community.
The new model, which replaces an earlier marketplace-specific buyback program, will split the allocated revenue evenly. 50% will be used for open-market buybacks of the ME token, while the other 50% will be distributed as USDC rewards to users who stake their ME tokens. The USDC rewards will be claimable on a monthly basis, with the first distribution available in March for February's activity. Unclaimed rewards will expire after a 90-day window.
The program is designed to create a recurring demand mechanism for the ME token through buybacks while providing a direct cash flow to long-term holders via staking. Magic Eden stated that the initiative aims to ensure that "when Magic Eden wins, the ecosystem wins too." The platform did not provide specific financial projections or estimated volumes for the program.
This move is part of Magic Eden's broader evolution from an NFT-centric marketplace into a diversified "crypto entertainment" hub. Following a decline in NFT trading volumes, the company expanded its offerings to include token trading, prediction markets, and gaming features. Key milestones in this pivot include the launch of its own multi-chain wallet in January 2024 and the acquisition of the on-chain trading app Slingshot in April 2025.
CEO Jack Lu emphasized the strategic shift, stating the company is "ramping up" investment in NFTs while diversifying into other categories to build resilience. The new revenue-sharing model applies exclusively to the ME token ecosystem and does not alter existing platform fees or commercial terms for users.
