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3 Token Unlocks to Watch Next Week
Token unlock involves releasing tokens that were previously blocked under fundraising terms. Projects carefully schedule these releases to avoid market pressure and prevent a drop in token prices.
However, factors like lack of liquidity or early investor profit-taking can significantly impact an asset’s dynamics. Although next week lacks major unlocks, these three upcoming events are still worth noting.
Immutable (IMX)
- Unlock date: August 9
- Number of tokens unlocked: 32.47 million IMX
- Current circulating supply: 1.54 billion IMX
Immutable is a Layer-2 solution for scaling NFTs on the Ethereum blockchain. In September 2021, the project raised $12.5 million during the IMX token sale on the CoinList platform in just one hour. In March 2022, it closed a $60 million investment round and secured an additional $200 million from investors, including ParaFi Capital, Declaration Partners, and Tencent Holdings.
On August 9, the circulating supply of IMX will increase by 32.47 million tokens. These newly unlocked tokens will be allocated to the development of the project and the broader Immutable ecosystem. The crypto community is discussing the IMX’s unimpressive performance, attributing it largely to the frequent unlocks.
“Look at the historical data. $IMX last bull market had a higher price but lower MC. Now it has a higher MC but the price is way less. This is due to supply unlocks,” one X user wrote.
Read more: Layer-2 Crypto Projects for 2024: The Top Picks
Xai (XAI)
- Unlock date: August 9
- Number of tokens unlocked: 35.88 million XAI
- Current circulating supply: 519.82 million XAI
Xai is the world’s first Layer 3 solution designed specifically for AAA gaming. Utilizing Arbitrum technology, Xai prioritizes simplicity and ease of use by removing the complexities of wallet management. This approach makes blockchain integration a seamless part of the gaming ecosystem.
On August 9, the project will unlock 35.88 million XAI tokens, distributing them among the team, investors, reserve, and ecosystem.
Read more: The 6 Best Cryptocurrency Powered Games in 2024
Ethena (ENA)
- Unlock date: August 11
- Number of tokens unlocked: 14.89 million ENA
- Current circulating supply: 1.80 billion ENA
Ethena is a synthetic currency protocol built on Ethereum. It provides a native cryptocurrency solution independent of traditional banking, and also offers global users a dollar-denominated savings instrument called the ‘Internet Bond.’
The ENA token enables holders to vote on governance proposals. On August 11, the project will unlock almost 15 million ENA dedicated to ecosystem development.
Read more: What Is Ethena Protocol and its USDe Synthetic Dollar?
Other next-week cliff unlocks include dYdX (DYDX), Hashflow (HFT), and Moonbeam (GLMR), with a total value exceeding $60 million. Although many consider token unlocks bearish, a well-planned schedule can strengthen a project’s long-term viability. Aligned with milestones and development progress, unlocks will motivate team members, boost community engagement, and promote ecosystem growth.
The post 3 Token Unlocks to Watch Next Week appeared first on BeInCrypto.
