In May, the cryptocurrency industry will unlock $4 billion worth of tokens among 21 different projects, anticipating a significant sell-off. These token unlocks constitute the cryptocurrencies supply inflation, with drastic economic effects that could impact prices and investors’ results.
Notably, the renowned crypto journalist Colin Wu spotted $3.661 billion worth of tokens to unlock in May. Wu reported the forecasted unlocks according to data from TokenUnlocksApp in a post on X on April 30.
In particular, the unlocks of Aevo (AEVO) and Pyth Network (PYTH) total nearly $2.5 billion worth of tokens. With over $1.2 billion each, they dominate May’s total unlocks by around two-thirds.
Ripple (1) treasury account activity. Source: XRPScan
As the beneficiaries move to realize the profit from the received assets, prices may crash proportionally to the sell-off weight over each cryptocurrency market cap and exchange volume.
Other projects that Wu mentioned in the report are DYDX, ENA, SUI, MEME, GAL, MAVIA, APT, STRK, ARB, APE, IMX, ROSE, PIXEL, AVAX, ID, YGG, OP, PRIME.
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