Over $600 Million in Token Unlocks Expected in January 2024
As we enter the new year, several crypto projects are preparing for massive token unlocks, which will bring over $600 million worth of liquidity into the market. This means that tokens that were previously locked will now enter circulation, increasing the token supply and potentially impacting prices.
The Largest Token Unlock: Aptos (APT)
Aptos (APT) is set to have the largest token unlock in January 2024. On January 12, 24.84 million APT tokens will be unlocked, accounting for 8.08% of the circulating supply. The unlocked tokens are valued at $234.76 million and will be distributed among the foundation, core contributors, investors, and the Aptos community.
Injective (INJ) Final Token Unlock
Injective (INJ) has already unlocked 96% of its token supply, with the final unlock scheduled for January 21, 2024. This unlock will release 3.67 million INJ tokens worth $136.73 million. The allocation includes tokens for advisors and the team.
Optimism (OP) Token Unlock at the End of January
Optimism (OP) will release 24.16 million OP tokens on January 30, 2024. These tokens are valued at $87.70 million and will be allocated to the team and investors. Additionally, a linear unlock of 333,330 OP tokens per day will take place over the next 90 days.
Expect Volatility and SEC Decision on Bitcoin ETFs
In addition to these token unlocks, the crypto market is also awaiting the Securities and Exchange Commission’s (SEC) decision on spot Bitcoin exchange-traded funds (ETFs). These events may contribute to high monthly volatility in the market.
Hot Take: Token Unlocks Bring Liquidity and Price Impact
Token unlocks are a common occurrence in the crypto market, and they bring both liquidity and potential price impact. As more tokens enter circulation, the increased supply can put downward pressure on prices. However, it’s important to note that each project’s token unlock is unique, and its specific circumstances will determine the actual impact on price. Investors should stay informed about upcoming token unlocks and consider the potential implications for their investments.
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