Key Takeaways:
- Optimism (OP) will unlock 387 million tokens worth $590 million
- Sui Network will also release 61 million tokens valued at $63 million
- Several other crypto projects will also hold token releases
YEREVAN (CoinChapter.com) — This week, Optimism (OP) and SUI, two cryptocurrency networks, are preparing for token unlocks that will substantially increase their circulating token supply. The total value of the unlocks from both networks amounts to $650 million.
Optimism, a Layer 2 network built on Ethereum, is expected to have the largest unlock. According to Token Unlocks, it will release 387 million tokens on May 31. These are equivalent to $590 million in value.
The upcoming unlock constitutes 9% of the total token supply. It will significantly raise the current circulating supply by a massive 114%. The unlocked tokens will be distributed primarily among core contributors and investors.
This token unlocks are part of Optimism’s ongoing strategy to foster decentralization and expand its user base. The event also precedes Optimism’s upcoming Bedrock upgrade to enhance performance and reduce fees.
However, the price of Optimism’s native token OP has experienced an increase of over 6% in the past 24 hours. According to CoinMarketCap, its price decreased from $1.64 to $1.52 within the past 24 hours.
Also Read: SOL Price Prediction: Solana Signals Bullish Breakout, $23 Likely Target
Sui Network (SUI) to unlock 61 million tokens
Contrasting with Optimism’s significant token unlock, Sui, a Layer 1 blockchain, is poised for a smaller token unlock of 61 million tokens on June 3. The total value of the SUI tokens, according to today’s rate, is around $63 million.
This will result in a 13% increase in Sui’s circulating supply. As a result, the price of SUI has already experienced an over 6% drop in the past 24 hours.
Notably, similar regular unlocks are scheduled until November, when the circulating supply is expected to double, mirroring the scale of Optimism’s unlock occurring this week.
It’s worth highlighting that the Sui token unlock differs from Optimism’s approach, as it will distribute the tokens to retail users through an airdrop as part of the community access program. Additionally, the Sui Foundation will collect a portion of the tokens.
Crypto projects gear up for massive token unlocks
Throughout this month, several substantial token unlocks have taken place. One such example is Avalanche (AVAX), which unlocked 9.5 million tokens on May 28, amounting to $139 million.
This unlock accounted for approximately 1.3% of Avalanche’s total token supply. Despite the unlock, no noteworthy impact was observed on the token’s price.
On May 30, Sweatcoin (SWEAT) and Galxe (GAL) will undergo token releases. Sweatcoin will unlock approximately 3.2 million tokens daily, while Galxe will release 586,666 tokens.
Furthermore, on June 1, token unlocks are scheduled for STEPN, Hedera, and Acala. Additionally, June 2 will witness token releases for 1inch and Nym.
