Token Unlocks Could Exert Pressure on Sandbox and ApeCoin Prices as $125 Million Worth of Tokens Hit the Market

Token Unlocks Could Exert Pressure on Sandbox and ApeCoin Prices as $125 Million Worth of Tokens Hit the Market

Crypto News – Token unlocks signify the liberation of previously restricted or locked tokens into the market, a development that could potentially impact the prices of prominent gaming and NFT projects such as Sandbox and ApeCoin in the near term.

These token unlocks mark the culmination of the vesting period, allowing tokens to enter the market for trading, buying, and selling. Typically, these tokens are vested for early investors, treasury purposes, and participants in public sales.

According to data, an approximate value of $95 million worth of Sandbox’s SAND tokens is set to be released during the early European hours on Wednesday, with an additional nearly $25 million worth of ApeCoin (APE) scheduled for release on Friday.

The release of SAND tokens constitutes approximately 10% of the total supply, pushing the circulating supply to nearly 90%. SAND tokens are integral for activities within Sandbox’s virtual worlds and currently boast a market capitalization of $1 billion.

In contrast, the unlock of ApeCoin represents just over 2.5% of the circulating supply, leaving over 35% of the token’s total supply still locked. These tokens are allocated to various entities including the creator Yuga Labs, the ApeCoin DAO, and other stakeholders within the network.

Recent data indicates a 2.3% decline in SAND prices over the past 24 hours, whereas APE has seen a 1.6% increase in value.