Catenaa, Saturday, September 06, 2025- Blockchain firm Sonic Labs has passed a governance proposal authorizing the issuance of $150 million worth of its native S token.
The tokens would be used to fund expansion into US capital markets, the company announced Monday.
The proposal, titled “US Expansion and TradFi Adoption,” secured near-unanimous approval with 99.98% of votes in favor.
Under the plan, Sonic Labs will partner with a top-tier ETF provider to launch a regulated exchange-traded fund tracking its S token.
The company plans to allocate $50 million to seed liquidity and support operations for the ETF launch.
A separate $100 million will fund a Nasdaq private investment in public equity (PIPE), creating a strategic reserve for a Nasdaq-listed vehicle and enabling purchases of S tokens on open and OTC markets.
Tokens in the reserve will be locked for at least three years.
Sonic Labs is also establishing a US entity, Sonic USA, and hiring regional executives to focus on regulatory compliance and partnerships.
The governance proposal comes in response to growing institutional demand for the S token in the US market.
The company additionally proposed updates to tokenomics, including gas fee burns and fee distribution changes, to make the S ecosystem more deflationary.
Sonic Labs, an EVM-compatible Layer 1 blockchain, launched the S cryptocurrency in August 2024 after rebranding from Fantom Foundation. The token currently has a market cap of $892.36 million, trading at $0.31.
