Keynote
UTK holders face 10-30 times dilution when XMN is launched with a supply of 10 billion and a supply of 10 billion. Total UTK token. Conversion offers a 1:1 rate at a six-month lockup or an immediate 3:1 rate, creating arbitration opportunities for Traders.company and justifies a higher rating through recent infrastructure investments and global expansion strategic plans.
Xmoney, a leading European Web3 payment startup, announced the launch of its new multipurpose token XMN on the SUI blockchain on September 5th. However, this sparked controversy among UTK investors who had held the platform’s official multipurpose token up until now.
The change is announced as the “next stage of Xmoney’s growth,” and is now being expanded to SUI from Multiversx to SUI, which is described as “the future of Xmoney is not limited to one system or one chain.” XMN will be launched at a price of $0.10 per token and at a fully diluted value (FDV) of $1 billion, taking into account a total supply of 10 billion.
Xmoney, previously known as Utrust, was acquired by Multiversx Labs (formerly Elrond) in January 2022, based on previous Coinspeaker reports. The rebranding from Utrust to Xmoney occurred through a governance proposal that passed in August 2023 with over 92% of votes. In addition to the rebranding, this proposal, named UTK 3.0, also changed the economic model of Token. This set a total supply of 1 billion UTK, in contrast to the 250 million CAP deflation model promoted by the post-Acquisition UTK 2.0 proposal.
Since then, UTK has been performing live on the Multiversx network, attracting investors under the premise of governance, staking (for Xmoney’s merchant guild), and cashback tokens. In February 2025, Beniamin Mincu, CEO of the Multiversx Foundation, announced that Xmoney and other Multiversx Labs-owned companies are independent. Greg Siourouunis later joined Xmoney as new co-founder and CEO, coming from the position of managing director at the SUI Foundation.
UTK price analysis as a dilution fears surges in XMN conversion rate
In particular, according to the announcement, the old tokens, UTK, will be discontinued. UTK holders have the option to face a 6 month lockup at a 1:1 rate or convert at a 3:1 rate with no lockup period. There is a surge in controversy as UTK’s total supply is 1 billion tokens, which is 10 times lower than XMN’s 10 billion.
This will dilute the UTK holder share by 10 or 30 times to everything related to Xmoney, and to everything related to Xmoney.
For example, Alice currently owns 100 UTK and has a share of 0.00001% of the total supply. After conversion, Alice holds 100 XMN (locked for 6 months) or 33 XMN (liquid) and earns a share of 0.000001% or 0.00000033% of the total supply, respectively.
Coinspeaker spoke to an Xmoney spokesman while writing this story. The full interview can be found below – the increase in FDV is “justified by Xmoney’s recent investments, referring to payment infrastructure, products, technologies, and global expansion plans.
From an Xmoney perspective, the 1:1 conversion rate is “good” for UTK holders. The spokesman highlighted the current UTK price at $0.027, which is related to XMN’s $0.10 list price. Therefore, we justify a 3:1 conversion rate as a fair price, and justify a “immediate triple increase in holding value” for those who choose a 1:1 conversion. However, the latter will depend on XMN’s performance over the next six months and there is no guarantee that the above “three times increase” will be achieved.
UTK fell 6% in the final 24 hours of this writing, significantly lowering after Xmoney’s announcement. Interestingly, current price drops and conversion mechanisms can create arbitrage opportunities for experienced traders, but caution is required.
Xmoney (utk) 24-hour price chart as of September 5th, after publication | Source: CoinMarketCap
XMoney’s CFO Bayar Ali acknowledges the challenges that may be related to protocol governance, in response to the X interactions talking about the fear of dilution, saying these processes have not yet been defined. He did not expand the financial and economic aspects of it.
I want to address the dilution issue. I agree that it may pose a problem with governance, this is actually the only place we think we have to intensive discussion.
No new governance processes have been defined yet. It’s on the roadmap. But we need to deal with some…
– Bayar Ali (@bayar_ali) September 5, 2025
The company will hold a space session at X on Monday, September 8th, and aims to make the changes even clearer, as posted by Greg Siourouunis.
Join us on Monday to ask the new ones not only $XMN, but the main questions this upgrade raised. It’s all clarity! https://t.co/l5sfjbh6kj
– Greg Siourouunis (@xmoneygreg) September 5, 2025
Coinspeaker interviews Xmoney spokesman
1. After extension, why launch a new token instead of bridging UTK to SUI? Wouldn’t it be considered ignoring the investments of UTK holders in Xmoney (do you aim to benefit from that growth?)
In fact, XMN is a new token, more than rebranding or converting. In order to effectively implement the new Xmoney strategy, we have decided to issue a new token with a much wider scope than UTK implements. XMN provides incremental value to participants in the Xmoney Ecosystem. This provides grants and support for projects that build loyalty platforms from scratch, ecosystem construction, and provides incentives in the form of rewards, benefits and quests for users, merchants, aggregators, markets and other ecosystem players.
We appreciate the support of the UTK community and acknowledge that in the past we may have done a better job communicating with them, but we want to reward their trust and perseverance over the last few years. So, we have built a UTK to XMN conversion model with the benefits of UTK holders in mind. In particular, locking a new token for six months will result in a great 1:1 conversion rate, which quickly increases the value of your holdings. In addition, the increase in APR and NFT integrate the expression of gratitude towards the token holder. We’ve put a lot of ideas into the transformation model, but we find it to be a very rewarding proposal in practice.
2. Is there a 3:1 or 1:1 conversion rate (UTK:XMN) instead of a 1:10 conversion rate (1b:10b) in proportion to the total supply of each token?
If this is just a token conversion or migration, a 1:10 conversion rate applies. In fact, we’re talking about a huge increase in token range with the launch of XMN. This is justified by the recent investments Xmoney has made in payment infrastructure, products and technologies, and by the updates of its strategies, including global expansion plans, product upgrades, organizational improvements, and effectiveness.
To assess a 1:1 conversion rate, you need to look at current UTK prices and XMN list prices to assess the added value offered to the UTK community. Plus, NFT is a unique, once-in-a-lifetime mint, designed specifically for the UTK community, with many benefits.
2.B. Is it correct to understand that supply-based dilutions are considered a fundraising strategy for these things you mentioned?
Over the coming weeks, we will expand further on what is planned for the use of Treasury and community allocations. The goal is more than this, but yes, we invest in the growth and development of our ecosystem. Greg mentioned the Growth Fund in his founders session on Monday, but it’s important to note that token emissions are built so that the business grows. In other words, inflation should be controlled. We invest in new revenue generation strategies, including merchant acquisition, user acquisition, engagement, retention, for example incentives based on the behavioral economy, and incentives that promote the desired behavior of ecosystem players. Also, don’t forget to return to MultiversX.
3. What will happen to the remaining utilities and roadmap for UTK to move forward? How about the guild?
We are running a governance vote to determine what the next step will be. We encourage you to join the UTK community to vote. This provides more information about the conversion plans and the various options they are available. Ultimately, we will stop supporting UTK as we will focus entirely on developing the Xmoney ecosystem using the power of XMN.
As for guilds, we are currently redesigning how they work and how they implement concepts in the XMN space. This focuses on the early concept of the guild as a merchant-led sub-community, but is fully integrated with the broader loyalty and incentive programmes where ecosystem participants will benefit.
3.B (Follow-up Question) If MultiversX-Native tokens stop supporting, what are your plans for MultiversX? Are you planning to bridge XMN to Multiversx at some point or start it natively there?
We are looking at the best options, but we rely heavily on traction that XMN enters the SUI blockchain. There are several options we discussed with the MultiversX team and we plan to make the best decision for Xmoney and MultiversX.
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Disclaimer: Coinspeaker is committed to providing fair and transparent reporting. This article is intended to provide accurate and timely information, but should not be considered financial or investment advice. Market conditions can change quickly, so we recommend that you review your information yourself and consult with an expert before making a decision based on this content.
Vini Barbosa has been a specialized cover of the Crypto industry since 2020, writing and editing over 10,000 hours of content related to media outlets and players in major industries. Vini is an active commentator, a heavy user of technology and truly believes in its innovative potential. Topics of interest include blockchain, open source software, distributed finance, and real-world utilities.
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