​​PayPal Ventures-Backed Magic Newton Foundation Token NEWT Plunges 46% Despite Coinbase and Binance Listing Debut

Binance Coinbase PayPal

Crypto Journalist

Anas Hassan

Crypto Journalist

Anas Hassan

About Author

Anas is a crypto native journalist and SEO writer with over five years of writing experience covering blockchain, crypto, DeFi, and emerging tech.

Author Profile

Share

Copied

Last updated: 

June 25, 2025

Why Trust Cryptonews

Cryptonews has covered the cryptocurrency industry topics since 2017, aiming to provide informative insights to our readers. Our journalists and analysts have extensive experience in market analysis and blockchain technologies. We strive to maintain high editorial standards, focusing on factual accuracy and balanced reporting across all areas - from cryptocurrencies and blockchain projects to industry events, products, and technological developments. Our ongoing presence in the industry reflects our commitment to delivering relevant information in the evolving world of digital assets. Read more about Cryptonews

The highly anticipated Token Generation Event (TGE) for Magic Newton’s native $NEWT token took place on June 24, marking the debut of the Automated Finance (AutoFi) project. Magic Labs, backed by PayPal Ventures and Polygon, is a contributor to the Magic Newton Protocol, powered by NEWT.

The token launched across major exchanges at an initial price of $0.524, immediately capturing significant market attention.

Despite securing what many consider an unprecedented listing strategy for a newly launched project, $NEWT’s market performance has been volatile.

The token initially surged 30% from its listing price, reaching an all-time high of $0.8337, before experiencing a dramatic 46% correction to trade at $0.4515 at press time.

Coinbase, Binance, and Tier-1 Exchange Support Drives NEWT Rally and AutoFi Vision

The token’s launch strategy distinguished itself through simultaneous listings on tier-1 centralized exchanges, a rarity for newly launched projects.

$NEWT secured day-one listings on Binance and Coinbase, alongside major Korean exchanges Upbit and Bithumb, and other leading platforms including Bybit, Bitget, KuCoin, MEXC, and BingX.

This comprehensive exchange support propelled the token to a peak market capitalization of $156 million during its initial trading session.

The coordinated listing approach generated substantial trading volume, with 24-hour activity exceeding $890 million, nearly ten times the token’s current market cap of $96 million.

Magic Labs, which plays a critical role in developing the Newton Protocol, has raised approximately $90 million from prominent investors, including PayPal Ventures, Digital Currency Group (DCG), Volt Capital, Polygon, and notable figures like Balaji Srinivasan.

The company has established itself in the crypto infrastructure space since 2018, developing embedded wallet solutions through SDKs utilized by major platforms such as Polymarket, WalletConnect, Helium, and Forbes.

Sean Li, Co-Founder and CEO of Magic Labs, emphasized the company’s extensive experience, stating their seven-year focus on user onboarding and trust, particularly in partnerships with Fortune 500 companies and large-scale applications.

The Newton protocol represents Magic Labs’ latest effort to address what they perceive as fundamental issues in cryptocurrency user experience through AI-powered solutions.

Technical Infrastructure Powers Magic Labs Automated Finance (AutoFi)

Magic Newton’s decentralized infrastructure layer combines trusted execution environments (TEEs) with zero-knowledge proofs (ZKPs) to enable automated on-chain finance operations.

The platform creates what the company describes as a “decentralized economy of verifiable agents,” with $NEWT serving as the protocol’s gas fee for issuing or revoking private, verifiable on-chain sessions and intents to Newton agents.

The AutoFi functionality allows users to establish automated dollar-cost averaging (DCA) strategies for cryptocurrency, including Bitcoin, Ethereum, KAITO, and VIRTUAL.

Users can configure recurring purchases on hourly, daily, weekly, or monthly schedules through AI agent automation.

Since its official May launch following extensive testing phases, Magic Newton has accumulated over 1.1 million signups, processed 747,000 verified agent transactions, and activated more than 362,000 AutoFi agents.

Magic Newton Influencer “Heist”: Top Kaito Users Bag $30K While Early Testers Get Zero

The project has faced significant criticism from early community members regarding its token allocation methodology.

According to the released tokenomics, the top 1,000 accounts on the social platform Kaito received 0.9% of the total 215 million circulating $NEWT supply, a decision that has drawn considerable community criticism.

Social media reports indicate that some crypto influencers received substantial allocations, with one claiming $5,300 worth of $NEWT tokens and another reporting over 38,000 NEWT tokens valued at more than $30,000 at the token’s peak price.

Many Kaito participants reportedly received allocations ranging from $10,000 to $30,000 in $NEWT tokens.

Conversely, early supporters who accumulated over 5,000 credits through Magic Newton’s initial quests and held Discord community roles found themselves ineligible for token distributions.

Additionally, Binance Alpha participants and BNB holders who had not engaged in testnet activities or Kaito discussions received 125 NEWT tokens each.

The community has widely criticized this distribution model as unfair, arguing that it prioritized influencers and high-profile accounts while excluding genuine early adopters and testers who contributed to the platform’s development.

The crypto community now awaits Magic Newton’s ability to retain its substantial user base and demonstrate genuine utility for the $NEWT token beyond speculative trading.