This week, there is a $57 million worth of tokens from various projects that will be released into the circulating supply in the market. In it, dYdX is expected to unlock more than 12 million USD worth of tokens.
When a project issues tokens, a certain amount of assets are retained by the original investors, team members, and developers that cannot be sold on the open market immediately. Instead, these tokens will be locked for a certain period of time.
However, after the lock-up period ends, token holders can sell their assets on the open market. Sometimes, due to increased selling pressure from unlocking these tokens, the value of these tokens can plummet.
THROUGH TOKEN UNLOCKED SUPPLY PRESSURE OVER 57 MILLION USD
Theo TokenUnlocks plans to release over $57.7 million worth of tokens into circulation this week through cliff unlocks. Additionally, there will be scheduled linear unlocks of tokens worth $21.9 million each day.
In the crypto world, a cliff unlock refers to when a project introduces a significant quantity of tokens into the circulating supply in a single day. On the other hand, a linear unlock involves the daily release of a fixed supply of tokens over a specific period.
Despite the occurrence of several smaller unlock events throughout the week, dYdX, Hashflow, and Hop Protocol will each contribute a minimum token supply of $1 million per unlock event.
DYDX UNLOCKED 12.8 MILLION USD worth of tokens
At the time of writing, the dYdX token unlock event is scheduled to take place in less than an hour (15:00 UTC). This cliff unlock event will introduce tokens worth $12.8 million into circulation. These unlock events account for 0.652% of the total token supply.
The market’s reaction to the upcoming unlock events has been observed, as the token has experienced a decrease of approximately 9.36% in the past 24 hours.
The Hashflow (HFT) project is set to release 0.3% of its total supply, worth over 1.3 million USD, on Tuesday night. Similar to dYdX, the HFT token has also experienced a decline of approximately 9.16% in the past 24 hours.
In addition, the Hop Protocol (HOP) will introduce 20 million tokens into circulating supply on Friday. These tokens account for 2% of the project’s total supply. At the current price, these unlocked tokens are valued at around 1.4 million USD.
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