Token unlocks can significantly influence the dynamics of crypto markets. These events involve the release of tokens that were previously restricted under fundraising agreements, and they are carefully timed by projects to manage market impact and token price stability. However, factors such as liquidity issues or early investor sell-offs can still affect asset performance. Here are three major token unlocks to keep an eye on next week:
Unlock date: October 8
Number of tokens unlocked: 9.93 million EIGEN
Current circulating supply: 186.58 million EIGEN
EigenLayer, an Ethereum-based restaking protocol, recently listed its EIGEN token on major exchanges. On October 8, nearly 10 million EIGEN tokens, valued at $35.75 million, will be unlocked. These tokens are earmarked for future community initiatives, which may help stabilize the price.
Unlock date: October 10
Number of tokens unlocked: 8 million OP
Current circulating supply: 1.25 billion OP
Optimism serves as a Layer-2 scaling solution aimed at enhancing transaction speed and reducing costs on the Ethereum mainnet. The OP token is crucial for governance, giving holders the power to vote on network proposals. On October 10, Optimism will unlock 8 million OP tokens, which will be utilized for retroactive public goods funding.
Unlock date: October 11
Number of tokens unlocked: 11.31 million APT
Current circulating supply: 502.84 million APT
Aptos, a Layer-1 blockchain, focuses on providing a secure and scalable infrastructure for decentralized applications. Despite its success, Aptos has faced scrutiny over its tokenomics, which rely heavily on venture capital. On October 11, 11.31 million APT tokens will be distributed to community members, core contributors, and investors.
Other token unlocks to watch include Hashflow (HFT), Cardano (ADA), Ethena (ENA), Xai (XAI), and io.net (IO), with a combined value exceeding $204 million. While token unlocks are often viewed as bearish, a well-planned release schedule can foster long-term project success, motivating teams and engaging communities.
