Mode Network is a Layer 2 blockchain built on the OP Stack (the same tech as Optimism and Base) that differentiates itself with a built-in sequencer fee sharing system — protocols that generate transaction volume on Mode receive a direct portion of sequencer revenue, creating a novel economic incentive for developers to build high-activity DeFi applications rather than deploy on chains that capture all revenue themselves. Launched in early 2024, Mode quickly attracted DeFi protocols seeking both the security of Optimism’s rollup infrastructure and a share of the economic upside from their own activity. MODE is the governance token used to direct additional ecosystem incentives and vote on network parameters. Mode is part of the Optimism Superchain — it contributes a portion of its revenue to the Optimism Collective.
| Stat | Value |
|---|---|
| Ticker | MODE |
| Price | $0.00 |
| Market Cap | $889,904 |
| 24h Change | +8.2% |
| Circulating Supply | 6.85B MODE |
| Max Supply | 10.00B MODE |
| All-Time High | $0.15 |
| Contract (Mode) | 0xdfc7...167a |
| Contract (Ethereum) | 0x0843...5e90 |
| Contract (Base) | 0x0843...5e90 |
| Contract (Optimistic Ethereum) | 0x0843...5e90 |
How It Works
OP Stack rollup:
Mode inherits Ethereum security via optimistic rollup: transactions are batched and posted to Ethereum L1, with a 7-day fraud proof window. Users benefit from Ethereum-grade security at a fraction of the gas cost.
Sequencer fee sharing:
Mode’s sequencer collects transaction fees. A portion of this revenue is algorithmically distributed to:
- Protocols — based on the TVL or transaction volume they generate on Mode
- Developers — for deploying smart contracts that drive activity
This is implemented on-chain via a “Sequencer Fee Sharing SFS (Sequencer Fee Sharing)” registry.
Optimism Superchain membership:
Mode is part of the Optimism Superchain — a collection of OP Stack chains sharing security infrastructure. Mode contributes a % of sequencer profits back to the Optimism Collective (OP token holders govern this allocation).
DeFi focus:
Mode has specifically targeted DeFi protocols — lending, stablecoins, DEXs — as its primary ecosystem, with native protocols like Ionic (lending) and Kim Exchange (DEX) built specifically for Mode’s revenue sharing model.
Tokenomics
| Metric | Value |
|---|---|
| Max Supply | 10,000,000,000 MODE |
| Ecosystem grants | 35% |
| Investors (vested) | 18.6% |
| Core contributors (vested) | 19% |
| Airdrop | 5.5% (to early Mode users) |
| Optimism airdrop | 1% (to OP token holders) |
| Treasury | ~20.9% |
Use Cases
- Governance — MODE holders vote on protocol parameters and grant allocations
- Incentive coordination — MODE distributed to protocols achieving sequencer fee sharing targets
- Ecosystem grants — MODE treasury used to fund new DeFi applications on Mode
History
- 2023 — Mode Network founded; development of OP Stack deployment and SFS contracts
- Jan 31, 2024 — Mode mainnet goes live
- Apr 2024 — MODE token launches; airdrop distributed to early users and OP holders
- 2024 — Mode TVL grows rapidly; ionic, Kim, and other native protocols launch
- 2024 — Mode joins Optimism Superchain; contributes to collective revenue sharing
Common Misconceptions
“Mode is just another OP Stack clone.” Mode’s sequencer fee sharing differentiator meaningfully changes developer economics. On most L2s, 100% of sequencer fees go to the chain operator; Mode routes a portion back to the applications generating that activity.
“MODE tokens directly receive sequencer fees.” MODE is a governance token, not a direct fee-receiving token. The fee sharing is between the Mode protocol and deployed applications, not directly to token holders.