NFT marketplace X2Y2 announced that it will not sell any of its tokens when they unlock later today. The announcement has sent the value of the X2Y2 token up by 12.2% in the last 24 hours.
X2Y2 developers said on Feb. 3 that their refusal to sell showed that their faith in the marketplace remains steadfast and that they are committed to its growth.
🪙Regarding the Upcoming Token Unlock🪙
As many are aware, there will be a major token unlock that will take place in 24 hours. Specifically, 12.5M Treasury tokens and 25M Team tokens are set to be unlocked.
🧵 1/4
— X2Y2 (@the_x2y2) February 3, 2023
Over 35 Million X2Y2 Tokens Unlocked
According to the marketplace, the scheduled unlock would release over 35 million X2Y2 tokens —12.5 million treasury tokens and 25 million Team tokens — into the market. A significant token unlocks of this nature usually increases the selling pressure on a token shows data fro Kaiko.
Delayed unlocks, the start of a new norm? 💡$DYDX up 130% since delaying their unlock and 190% YTD
They were due to release 15% of total supply that would have 2x circulating supply
Hard to see other projects not being inspired by this in the depths of a bear market 👇
🧵1/5 pic.twitter.com/2EUvPN5bxJ
— Kaiko (@KaikoData) February 3, 2023
However, the team’s assurance that it will not sell any of the tokens from this unlock or subsequent unlocks appears to have made investors bullish.
With the recent price spike, X2Y2 has recorded a market value increase of 262.10% in the last 30 days. This positive price performance has seen the token’s value go from a low of $0.054 on Jan. 1, 2023, to as high as $0.21 over the reporting period.
Source: CoinMarketCap
X2Y2 is not the first token to see its price increase before an unlock. The DeFi protocol dYdX saw its token gain almost 130% since it moved its token unlock to the fourth quarter of the year.
February 2023 to See $588M Tokens Unlocked
dYdX postponement of its token unlock will not significantly impact the number of new tokens scheduled to be released this month. According to Token Unlocks data, 17 projects will unlock $588 million worth of tokens in February 2023.
The top three include The Sandbox, which is scheduled to release 12.42% of its supply (372 million SAND tokens) on Feb. 14. BitDAO will release 187 million BIT on Feb. 15, and Aptos will release $75 million worth of APT tokens.
Other projects expected to unlock new tokens include 1inch, Moonbeam GLMR, Tornado Cash TORN, ApeCoin APE, and others.
With X2Y2 and dYdX adopting similar strategies to keep the value of their tokens up despite unlocks, it remains to be seen if other projects will also embrace these measures.
Disclaimer
BeInCrypto has reached out to company or individual involved in the story to get an official statement about the recent developments, but it has yet to hear back.
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