Fears Loom On Crypto Markets with Over $755M in Tokens to Unlock in July

Coins in vault

About $755 million in crypto tokens will be released in July across 40 projects, such as AltLayer, Arbitrum, Optimism, etc. 

The crypto market is bracing for a significant event in July as over $755 million worth of tokens are set to be unlocked for over 40 projects.  

Token unlocking refers to the process by which tokens previously held in escrow or subject to vesting schedules become available for trading. Early investors, project teams, and other stakeholders often hold these tokens. When a large volume of tokens is unlocked simultaneously, it can lead to a sudden increase in supply, which might exert downward pressure on prices if the demand does not keep pace.  

According to Token Unlocks, the projects anticipated to experience the most substantial token releases include AltLayer (ALT), Arbitrum (ARB), Aptos (APT), Immutable (IMX), Optimism (OP), Starknet (STRK), Sui (SUI), and Xai (XAI).   

AltLayer and Aptos Tokens Release 

AltLayer will unlock $125 million worth of tokens distributed among its team, ecosystem, and investors. Also, Aptos will release $77 million in tokens, marking its third significant unlock in three months.  

Gaming-focused project Xai is planning for the second-largest token release, with approximately $93 million in tokens scheduled to unlock on July 9. Similar to AltLayer, these tokens are allocated to the team, investors, and the ecosystem. An additional $2 million in tokens are set aside for its reserves.

As of this writing, ALT’s token price is around $0.18, whereas XAI is valued at $0.47.  

Aptos, having unlocked $101 million in May and $102 million in June, is set to release another batch of tokens in July. The project will unlock 11.31 million APT tokens valued at $77 million. These tokens are designated for its foundation, community, core contributors, and investors.   

Arbitrum, Optimism, and Others 

Over the past three months, APT’s price has fallen from a high of $17.63 on April 1 to $6.99 on June 28, marking a 60% decline. Meanwhile, Arbitrum, having released $95 million in tokens in May and $105 million in June, is set to unlock another $75 million in tokens for its team, advisers, and investors on July 16. Additionally, the project released 1.1 billion ARB tokens worth $2.32 billion on March 16.  

ARB prices have plummeted by 63% since the substantial unlock, falling from a high of $2.27 on March 8 to $0.82.

Optimism, Sui, Immutable, and Starknet, which each unlocked millions of dollars worth of their native tokens over the past two months, are set to unlock similar amounts in July.