Flying Tulip, a new project by DeFi architect Andre Cronje, launched its token generation event (TGE) in February, shortly after which its token FT price fell below the initial offering price of $0.1. This decline contradicts the project’s claim of “never break, principal protection,” which promises investors full protection of their original investment. Currently, the FT token trades around $0.0989, with a circulating market cap near $200 million and a fully diluted valuation close to $1 billion. Flying Tulip is established as an on-chain financial system integrating spot trading, lending, perpetual contracts, and its own stablecoin ftUSD. The project emphasizes a “native yield” model, investing 100% of its fundraising into lower-risk strategies such as Aave and Lido. A notable feature is the ftPUT mechanism, granting participants a perpetual unconditional right to full principal return by burning FT tokens to receive BTC, ETH, SOL, or stablecoins equivalent to their original investment. The on-chain floor price is set at $0.1 based on this concept. Previously, Flying Tulip completed a $200 million seed round and raised about $10 million in a CoinList presale. With a public fundraising cap of $1 billion, it has become one of the major protocol launches anticipated for the 2026 market cycle. However, the token price drop has raised investor concerns about whether the initial promise can be fulfilled. While the project introduces a unique model in DeFi, cautious optimism is advised given market volatility and cryptocurrency uncertainties.
Source: binance
