Token unlocks are a critical process in the lifecycle of a cryptocurrency project. They refer to the release of previously locked tokens under the terms set during fundraising rounds or other fundraising initiatives. Proper planning of token unlocks is essential to avoid exerting undue pressure on the market and to prevent significant drops in token prices. Typically, initial investors who acquire tokens at the lowest prices play a significant role in this process.

Key Takeaway:

1. Market Impact of Token Unlocks: Token unlocks increase supply, often leading to selling pressure and lower prices.
2. Importance of Allocation: Where unlocked tokens go (treasury vs. investors) affects whether they'll be sold quickly, influencing price movement.
3. Tokens to Watch: Keep an eye on Alt Layer, Yield Guild Games, SingularityNET, Optimism, and Ethena for significant market moves this week.

Benefit of Token Unlock

Token unlocks increase the supply of tokens in circulation, which can influence their market prices. Historically, these events are considered bearish because the influx of newly released digital assets can create selling pressure, potentially devaluing the existing tokens. The law of supply and demand dictates that an increase in supply, without a corresponding increase in demand, usually leads to a decrease in price. 

However, the direction of price movement post-unlock can also depend on how the tokens are allocated. Tokens designated for the protocol's treasury or further development might stay within the ecosystem longer, while tokens distributed to partners or early investors may be sold, increasing market pressure.

This week, five notable token unlocks are worth watching: Alt Layer, Yield Guild Games, SingularityNET, Optimism, and Ethena.

Alt Layer (ALT)

AltLayer is an open and decentralized protocol designed for rollups, aiming to enhance security, decentralization, interoperability, and crypto-economic finality through a restaking mechanism. The native utility token, ALT, serves multiple functions including governance, economic bonding, incentivization, and fee payment within the network.

AltLayer's core products include VITAL (Actively Validated Service), MACH (protocol for faster finality), and SQUAD (decentralized sequencing). AltLayer has raised $22.8MM from private token sales and has prominent investors like Polychain Capital and Binance Labs.

ALT Price Today

As of today, AltLayer (ALT) is trading at $0.183970 with a 24-hour trading volume of $27,886,742. Despite a 4.43% decline in the last 24 hours, it holds a market cap of $202,367,314, ranking it #239 on CoinMarketCap. AltLayer has a circulating supply of 1,100,000,000 ALT coins out of a maximum supply of 10,000,000,000 ALT coins.

Token Unlock Details

• Advisors: 5%
• Team: 15%
• Investors: 18.5%
• Ecosystem & Community: 15%
• Protocol Development: 20%
• Treasury: 18.5%
• Airdrop: 3%
• Binance Launchpool: 5%

• Unlock Date: June 25
• Amount of Tokens to be Unlocked: 105.21 million ALT
• Current Circulating Supply: 1.5 billion ALT

Yield Guild Games (YGG)

Yield Guild Games (YGG) is a decentralized autonomous organization (DAO) that leverages blockchain technology to provide access to play-to-earn (P2E) games globally. YGG invests in NFTs used in blockchain games, allowing players to earn assets by playing and converting these assets into real money. The YGG token is central to ecosystem governance and community voting on various issues, including the trading of NFT assets.

Current Market Overview

Yield Guild Games (YGG) is currently priced at $0.568087 with a 24-hour trading volume of $42,877,422. It has experienced a 5.69% drop in the last 24 hours and holds a market cap of $207,612,763, ranking #235 on CoinMarketCap. The circulating supply is 365,459,302 YGG coins.

• Unlock Date: June 27
• Amount of Tokens to be Unlocked: 16.69 million YGG
• Current Circulating Supply: 372 million YGG

SingularityNET (AGIX)

SingularityNET is a blockchain-powered platform that facilitates the creation, sharing, and monetization of AI services through a globally accessible AI marketplace. The AGIX token is used for transactions within the marketplace, allowing users to purchase AI services and developers to sell their AI tools. SingularityNET aims to integrate Knowledge Graphs and Neural Symbolic tools for large language models (LLMs), positioning itself as a leader in the convergence of AI technologies.

Current Market Overview

SingularityNET (AGIX) is priced at $0.681428 with a 24-hour trading volume of $119,549,279. It has seen a 2.44% decrease in the past 24 hours, holding a market cap of $877,341,337 and ranking #76 on CoinMarketCap. The circulating supply is 1,287,504,780 AGIX coins out of a maximum of 2,000,000,000 AGIX coins.

Token Unlock Details

• AGIX-ADA Utility: 38.57%
• Campaign Supporters: 2.46%
• SingularityNET Foundation: 4.91%
• Founders: 11.06%
• Reward Pool: 12.29%
• Token Sale: 30.72%

• Unlock Date: June 28
• Amount of Tokens to be Unlocked: 8.57 million AGIX
• Current Circulating Supply: 1.28 billion AGIX

Optimism (OP)

Optimism is a layer-two blockchain on top of Ethereum, utilizing optimistic rollups to enhance scalability and security. It supports numerous protocols, including Synthetix, Uniswap, and Velodrome. Optimism's design emphasizes simplicity, pragmatism, and sustainability, leveraging Ethereum's consensus mechanism for security while offering a seamless user experience.

Current Market Overview

The live price of Optimism is $1.74 per OP/USD, with a current market cap of $1,969,158,634.4245613 USD. The 24-hour trading volume is $53,698.33 USD. The OP to USD price is updated in real-time. Optimism has experienced a -1.3% change in the last 24 hours and a -6.53% change over the past 7 days, with a circulating supply of 1,121,728,540

Token Unlock Details

• Sugar Xaddies: 29.82%
• Core Contributors: 33.3%
• Retrodrops: 1.23%
• Ecosystem (Governance Fund): 2.25%
• Future Airdrop(s): 24.61%
• Airdrop #1: 8.79%

• Unlock Date: June 30
• Amount of Tokens to be Unlocked: 31.34 million OP
• Current Circulating Supply: 1.08 billion OP

Ethena (ENA)

Ethena is a synthetic dollar protocol built on Ethereum, providing a crypto-native solution for money that operates independently of traditional banking infrastructure. It also offers a globally accessible dollar-denominated savings instrument known as the "Internet Bond."

Current Market Overview

Ethena (ENA) is priced at $0.553757 with a 24-hour trading volume of $73,672,830. The token has seen a 6.03% decline in the last 24 hours and holds a market cap of $841,883,088, ranking #80 on CoinMarketCap. The circulating supply is 1,520,312,500 ENA coins.

Token Unlock Details

• Investors: 41.59%
• Core Contributors: 49.91%
• Airdrop: 8.5%

• Unlock Date: June 30
• Amount of Tokens to be Unlocked: 14.89 million ENA
• Current Circulating Supply: 1.7 billion ENA

Conclusion

Token unlocks are significant events in the cryptocurrency ecosystem, impacting token prices and market dynamics. Understanding the details of each token's unlock process and their market implications can help investors make informed decisions. This week, keep an eye on Alt Layer, Yield Guild Games, SingularityNET, Optimism, and Ethena as their unlock events unfold.

Latest Token Unlock News

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FAQ

Q1: What is a token unlock?

A1: It's the release of previously locked tokens, increasing the supply..

Q2: Why are token unlocks bearish?

A2: New tokens often create selling pressure, lowering prices.

Q3: How does token allocation affect the market?

A3: Tokens in treasury/development reduce selling pressure; tokens to investors increase it.

How to Buy: