{"id":90132,"date":"2024-03-11T23:44:40","date_gmt":"2024-03-12T03:44:40","guid":{"rendered":"https:\/\/ifintechworld.com\/?p=90132"},"modified":"2024-03-11T23:44:41","modified_gmt":"2024-03-12T03:44:41","slug":"arbitrum-to-unlock-2-32-billion-in-vested-arb-tokens-on-march-16","status":"publish","type":"post","link":"https:\/\/ifintechworld.com\/?p=90132","title":{"rendered":"Arbitrum to Unlock $2.32 Billion in Vested ARB Tokens on March 16"},"content":{"rendered":"
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Arbitrum, a Layer-2 blockchain network, is gearing up to release $2.32 billion worth of vested Arbitrum (ARB) tokens on March 16, marking a major milestone for the platform.<\/span><\/p>\n

Token Unlocks highlighted that Arbitrum will do a \u201cCliff Unlock,\u201d where tokens are released in a lump sum at the deadline.<\/span><\/p>\n

Arbitrum Prepares for $2.32 Billion Token Unlock on March 16<\/span><\/strong><\/h2>\n

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According to data from Token Unlocks<\/span>, approximately 1.1 billion locked ARB tokens will be unlocked, constituting roughly 76% of the token\u2019s circulating supply.
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Of the unlocked tokens, Arbitrum will allocate 673.5 million tokens, valued at around $1.41 billion at current prices, to its team and advisers. <\/span><\/p>\n

Additionally, 438.25 million tokens, worth approximately $915 million, will be released for investors. Token Unlocks clarified that this will be a \u201cCliff Unlock,\u201d meaning no tokens are initially released until the specified unlock date, upon which a lump sum will be introduced into the market.<\/span><\/p>\n

Unlocks are staggered releases of cryptocurrencies that have been frozen to prevent early investors or project team members from selling in large numbers. The Cliff Unlock method allows for unfreezing a certain number of tokens immediately after a predetermined period, after which unfreezing happens in a linear schedule.<\/span><\/p>\n

Following the March 16 release, Arbitrum will continue to unfreeze a certain amount of tokens every four weeks for four years, Token Unlocks\u00a0<\/a><\/span>noted<\/span><\/a>\u00a0in a tweet<\/a>.<\/span><\/p>\n

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\ud83d\udcc5 Mark your calendars
$1.1 billion in $ARB<\/a> unlocks are coming \u23f3<\/p>\n

On March 16th, 2024, get ready for a massive cliff unlock as the Team and Investors unlock their tokens, totaling a staggering $1.26 billion. \ud83d\udd25<\/p>\n

But that’s not all! Starting from that day, every 16th of the\u2026 pic.twitter.com\/Ayv4bKXmty<\/a><\/p>\n

\u2014 Token Unlocks (@Token_Unlocks) August 16, 2023<\/a><\/p>\n<\/blockquote>\n

Given the huge number of tokens set to be unlocked, crypto community members are anticipating potential price fluctuations for ARB tokens. <\/span>Some foresee<\/span>\u00a0a rise in short positions against the token on March 16, while others have\u00a0<\/span>already sold<\/span>\u00a0their tokens in anticipation of the unlock.<\/span><\/p>\n

Unlocks free up liquidity and are considered bearish catalysts for the cryptocurrency\u2019s price. A study from crypto analytics firm The Tie shows that unlocks representing more than 100% of the average daily trading volume tend to have a negative impact on the token\u2019s price.<\/span><\/p>\n

However, crypto influencer JJcycles\u00a0<\/a><\/span>shared<\/span>\u00a0<\/a>a contrasting viewpoint on social media platform X<\/a>, drawing parallels to a previous token unlocked by Solana.<\/span><\/p>\n

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On the 16th of March,
the Arbitrum supply increases dramatically.<\/p>\n

Unlocks:
1. 674m ARB \u2013 Team
2. 438m ARB \u2013 Investors<\/p>\n

The last time I saw such a huge supply unlock during a bullmarket of comparatively large cap coin was with Solana during the previous cycle.<\/p>\n

It ended up\u2026 pic.twitter.com\/HSJG7WXbzu<\/a><\/p>\n

\u2014 JJcycles (@JJcycles) March 3, 2024<\/a><\/p>\n<\/blockquote>\n

The trader noted that Solana\u2019s SOL token experienced a surge in price following the release of vested tokens, contrary to expectations of a price decline.<\/span><\/p>\n

Arbitrum\u2019s ARB Token Lags Behind Competitors Amidst Market Growth<\/span><\/strong><\/h2>\n

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Arbitrum, a prominent layer-2 blockchain network, has observed a decline in the value of its native cryptocurrency, ARB, compared to other leading Layer-2 assets in the past day.<\/span><\/p>\n

Despite a positive trend in the sector overall, ARB emerged as the weakest performer among the top five L2 tokens, experiencing a decrease of over 2% during the reporting period, while the sector showcased an average gain of 3.8%.<\/span><\/p>\n

SpotOnchain\u2019s analysis reveals substantial sell-offs by whales, with approximately 3 million ARB tokens offloaded for $6 million just ahead of the event. <\/span><\/p>\n

Despite this, Arbitrum maintains its position as the largest Ethereum-based layer-2 network, with DeFillama data indicating a total locked asset value of $3.6 billion.<\/span><\/p>\n

At press time, ARB changed hands at $2.10, a 3.04% decrease in the last 24 hours.\u00a0<\/span><\/p>\n

In addition to Arbitrum, several other projects are gearing up to unlock tokens this week. Aptos is scheduled to release approximately 24 million tokens valued at around $329 million on March 13, constituting a sizable portion of the project\u2019s circulating supply. <\/span><\/p>\n

Similarly, projects like ApeCoin, Flow, CyberConnect, Moonbeam, and Euler are about to release vested tokens, collectively amounting to about $53 million in digital assets.<\/span><\/p>\n

With approximately $2.7 billion worth of tokens set to be unlocked this week across various projects, the cryptocurrency space is anticipating big developments and potential market shifts in the days ahead.<\/span><\/p>\n<\/p><\/div>\n