Token Unlocks to Release Over $317M This Week
More than $317 million worth of tokens are scheduled to be unlocked this week, potentially increasing market volatility. The supply surge is led by SUI, JUP, and EigenLayer's EIGEN tokens. In anticipation of its unlock, LayerZero's ZRO token has already dropped 12%, though spot buyers are reportedly accumulating at lower prices.
- On February 28th, Jupiter is scheduled to unlock 253.47 million JUP tokens, which is equivalent to approximately $36.18 million and represents 7.94% of the circulating supply. A significant portion of this unlock, 200 million JUP, is allocated to "Jupuary," the platform's annual airdrop initiative for users and community supporters. The remainder is designated for the team (38.89 million JUP) and "Mercurial stakeholders" (14.58 million JUP). - The SUI unlock, scheduled for March 1st, will release tokens into the Community Reserve. This reserve, which holds 50% of the total SUI supply, is intended to fund grant programs, support research and development, and subsidize validator staking rewards. - While some sources indicate an unlock for EigenLayer's EIGEN token on March 1st for early contributors, other reports show no upcoming unlock in the immediate future, creating conflicting information regarding this event. - The recent 12% price drop in LayerZero's ZRO token comes ahead of a structured three-year vesting period for its strategic partners and core contributors. These two groups hold 32.2% and 25.5% of the total 1 billion ZRO supply, respectively, with a one-year lock followed by a two-year monthly unlock schedule. - The "Mercurial stakeholders" receiving a portion of the JUP unlock are early investors from Mercurial, a predecessor protocol to the Meteora launchpad, which is associated with the Jupiter team. - The Jupiter DAO recently approved a proposal to achieve "net-zero" JUP emissions, which involves pausing team vesting and postponing the "Jupuary" airdrop to curb sell pressure from new supply. However, the upcoming unlock from prior commitments will still proceed.
