- Lido (LDO), Avalanche (AVAX), and Yield Guild Games (YGG) are scheduled to unlock significant amounts of tokens.
- 9.5 million AVAX, 8.5 million LDO, and 12.2 million YGG tokens will be unlocked by the end of this month.
- The prices of all the tokens have dropped over the past weeks.
In the coming week, the cryptocurrency market is set to witness significant token unlocks from three prominent projects, namely, Lido (LDO), Avalanche (AVAX), and Yield Guild Games (YGG). These unlocks are part of staggered unlocks previously frozen to prevent early investors or project team members from liquidating their holdings in large numbers.
Avalanche, a blockchain platform known for its scalable and efficient infrastructure, has an unlock scheduled for August 26. The event would unlock 9.54 million AVAX tokens worth $102.86 million, amounting to 2.77% of the total circulating supply. The last unlock AVAX underwent in May was well-received by the market.
The AVAX unlock would be divided among strategic partners, the Foundation, the team, and airdrop participants, with allocations of 2.25 million, 1.67 million, 4.5 million, and 1.13 million tokens, respectively. AVAX has declined 13% over the last week and 1.8% on the day.
Lido, a decentralized finance protocol for liquid staking, is scheduled to unlock 8.5 million LDO tokens on August 26. This unlock is valued at approximately $14.2 million and represents roughly 0.97% of the total circulating supply.
The upcoming unlock would distribute all 8.5 million tokens to investors, who currently hold more than 300 million tokens. The LDO token has experienced an 8.5% drop over the past week but has remained relatively stable in the last 24 hours.
Yield Guild Games, a key investor in GameFi’s DAO token, has been reflecting the struggle of blockchain-based gaming to gain mainstream traction. YGG is set to unlock 12.2 million YGG tokens ($2.87 million) on August 27, totaling 6.6% of the cryptocurrency’s circulating supply. As of now, approximately 30% of the token’s supply has been unlocked. YGG’s token is down nearly 59% in the last year, despite a temporary rally last month.
These token unlocks are part of the broader strategy of projects to manage liquidity and investor relations. While token unlocks could create market uncertainty, they are essential for the long-term growth and stability of the projects.
