Solana’s Space Hits $69M FDV Amid Token Sale Controversy

• Solana-based prediction platform raised $20M, surpassing its $2.5M fundraising target.
• $7.3M refunded, with remaining funds allocated for development and operations.

Cryptopolitan reported on January 21, 2026, that Space, a Solana-based prediction market platform, faced backlash from its community when its public token sale raised $20 million, far exceeding its target of $2.5 million. Space clarified that the $2.5 million was a "soft cap" designed to allow scalability based on demand.

The company explained that the original target represented the minimum funding required for short-term operations, while additional capital was needed for long-term infrastructure goals. Following allocation reviews, Space refunded $7.3 million to participants and finalized the token price at $0.069, achieving a $69 million fully diluted valuation.

Funds retained from the sale are set to be used for infrastructure development, liquidity provision, securing centralized exchange listings, and expanding the team. To ensure fair token distribution during the sale, Space trimmed allocations for larger contributors and increased those for smaller investors.

Comparisons were drawn to Trove Markets, another Solana-based prediction platform that recently faced community criticism following a token price drop of over 95% after transitioning from the Hyperliquid protocol to Solana’s ecosystem. Trove raised $11.5 million but refunded only $2.44 million, and allegations of fund misuse exacerbated investor dissatisfaction with Trove’s team.

Space’s approach to handling oversubscription has received mixed reactions. While some investors accused the platform of an unclear fundraising cap, others acknowledged efforts to issue refunds and adjust token allocation mechanisms. Space is expected to address remaining concerns as it advances its plans for building a 10x leverage prediction market.

As of January 22, 2026, at 15:08 UTC, Solana (SOL) is trading at $127.805, reflecting a 1.528% decrease in 24-hour trading volume, according to CoinMarketCap.