February will be explosive in the crypto space as over 20 projects are unlocking tokens with a combined value of over $800 million.
This is more than we saw last month. Among the heavyweights for February are popular chains in DEX, general Purpose Layer 1s, and Metaverse. In this article, we’ll look at these crypto unlocks, and their allocations and analyze if these will trigger a potential price drop.
1) DYDX
The month kicks off with a heavy unlock from the decentralized exchange DYDX. The exchange plans to release 33,33M tokens worth over $94 million on February 1. This also accounts for 10.63% of its circulating supply.
📢Token Unlock Update📢
dYdX Trading Inc., dYdX Foundation and certain parties to the Warrants to Purchase Tokens signed an amendment to, among other things, postpone the initial release date applicable to investor $DYDX tokens to Dec 1, 2023
Blog: https://t.co/froqUPL3ay
🧵👇🏻
— dYdX Foundation 🦔 (@dydxfoundation) January 25, 2023
That’s TODAY. So make a plan if you need to. The unlocked tokens will be allocated to three groups:
- Investors: 18.49 million tokens ($53 million)
- Project Team, Advisors, Consultants: 10.18 million dYdX tokens ($29.22 million)
- Future Employees: 4.67 million tokens ($13.39 million)
The coming February unlock comes behind DYDX’s last unlock on January 23. The decentralized exchange also released $500 million in tokens in December, causing a mild price drop. Unlock data shows that DYDX has four other large unlocks for this year. Token unlocks often inspire a price drop and the coming DYDX unlock might not be any different.
Interestingly DYDX has seen some increase in recent days. And that’s because of some updates within the system. DYDX recently introduced the dYdX Chain protocol v3.0 upgrade. This upgrade offers a liquid staking feature. This has caused several liquid staking protocols to move to DYDX.
1/6 🎉 The dYdX Chain Protocol v3.0 Upgrade has been successfully implemented at block height 7147832.
🫶Thanks to everyone who voted and contributed!
What does the upgrade change?
Keep reading 👇 pic.twitter.com/0PidV3jC8f— dYdX Ops subDAO (@dydx_ops_subdao) January 29, 2024
2) Aptos (APT)
Aptos has one of the biggest unlocks for February. The layer-1 blockchain will unlock 24.48 million APT tokens on February 11. This is worth about $218.16 million and accounts for 7.36% of its circulating supply. There are four allocations to this coming unlock:
- The foundation will receive 1.33m APT tokens ($11.75m)
- The community will receive 3.21m APT tokens valued at $28.28m
- Core contributors 11.88m APT tokens valued at $104.62m
- Investors will receive 8.42m APT tokens valued at $74.21m.
Aptos unlocked 24.8 million APT tokens ($249.67 million) on January 12. which was pretty massive. We’ve found that token unlocks often have a mild effect on the APT price.
🔥 Top 15 TokenUnlocks in FEB 24 worth $1.012 billion 🔥
Subscribe to our UnlocksInsights to read more about unlocks and in-depth analysis, and much more 👇🏻https://t.co/qxO0xySSIp pic.twitter.com/y695FiK2L9
— Token Unlocks (@Token_Unlocks) January 31, 2024
We expect a similar effect this time. However, any negative price reaction is often temporary based on our observation.
3) Sandbox (SAND)
Sandbox fans gather around. There’s going to be a massive unlock on the 14th of February. The Sandbox plans to unlock 205.59 million tokens. This accounts for 9.19% of the circulating supply. And is worth around $93 million. Here’s how the Metaverse platform scheduled the allocation:
- The team will receive 71.25m SAND tokens which make up 3.18% of its circulating Supply. And is worth around $32.02m.
- The next allocation is reserved for advisors. Advisors will receive an allocation of 37.50m SAND tokens, valued at $16.85m.
- The company reserve is the last on the allocation list. The reserve will receive an allocation of 96.84m SAND tokens, valued at $43.53m.
The last SAND unlock came on August 14, 2023. At the time, the metaverse project released a staggering 332 million. SAND tokens. This unlock made up 16% of its circulating supply. And were worth around $133 million at the time of the unlock.
There’s a possibility that the coming unlock could cause a mild reaction. But that’s not a certainty. SAND is currently 1.8% up over the past 24 hours. The team has also focused on several top partnerships over the past few months.
Get ready for a massive unlock in the second month of 2024, featuring a total of $2,288 million in February 🔥
Read now to find out about the upcoming unlocks for February and up to the next two quarters! 📅
Is your watchlist token on here? Find out now:https://t.co/qxO0xySSIp
— Token Unlocks (@Token_Unlocks) January 29, 2024
4) Avalanche (AVAX)
There are other unlocks reserved for February. Avalanche is one of the notable mentions. The team plans to unlock 9.54 million tokens on February 22. This accounts for 2.6% of the circulating supply. And is worth around $315 million. Here’s the allocation schedule:
- Strategic Partners: 2.25m AVAX tokens worth $77.96m.
- Foundation: 1.67m AVAX tokens worth $57.75m.
- Team: 4.50m AVAX tokens, worth $155.93m.
- Airdrop: 1.13m AVAX tokens, valued at $38.98m.
That’s it for this month. Which of these events are you looking forward to the most?
Disclaimer
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