Cryptocurrencies

The value of around $875 million in locked cryptocurrencies could reach…

Around $875 million worth of locked cryptocurrencies could hit the markets in June as token maturity periods for more than 30 blockchain-based projects expire.

According to data tracker TokenUnlocks, the largest group of crypto tokens to be unlocked in June 2024 belong to Aptos (APT), Arbitrum (ARB), Starknet (STRK), and Sui (SUI).

Vesting cryptocurrencies is a common practice in the cryptocurrency space to prevent project team members or early investors from getting rid of their tokens early.

Using various mechanisms, crypto tokens are locked to prevent their holders from selling them all at once and putting extreme pressure on the markets, which typically results in token prices falling.

Largest Token Unlock Happens in June

The Ethereum Layer-2 Arbitrum network will unlock 92.65 million ARB tokens worth $105.6 million on June 16. Nearly $64 million in tokens have been allocated to the project team and advisors, while $41.6 million worth of ARB will be issued to its investors.

3-month price chart for the Arbitrum Layer 2 network. source: Queen Gekko

On March 16, Arbitrum issued 1.1 billion ARB tokens, worth $2.32 billion at the time. Since then, the token’s price has fallen more than 50%, from a high of $2.27 on March 8 to $1.13 at the time of writing.

Layer 1 blockchain project Aptos will issue 11.1 million APT tokens worth $102.6 million in June. On June 12, the network will provide $12.1 million in tokens to its foundation, $29.1 million to its community, $35.9 million to its major shareholders, and $25.5 million to its investors.

After the two biggest unlocks in June, the zero-knowledge Starknet project will also unlock millions of tokens. On June 15, ZK Protocol will issue 64 million STRK tokens worth $78 million to early shareholders and investors.

about: Tokens worth $900 million expected to be issued in February

Meanwhile, the Optimism Accumulation project will unlock an additional 31.34 million OP tokens, worth approximately $78 million at the time of writing. On May 31, the project distributed a similar number of tokens to shareholders and major investors and will do the same in June.

On June 1, top-tier blockchain platform Sui will unlock 65 million tokens worth $66 million. The tokens will be issued to Series A and B investors, early shareholders, the Mysten Labs treasury and the community reserve, according to TokenUnlocks. The project previously issued crypto tokens worth nearly $1 billion in May.

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