DYdX pushes back $156 million of token unlocks for investors to December from February
TL;DR dYdX delayed its token unlocks for investors to Dec. 1 from Feb. 3, reducing the amount of tokens released by 83 million ($156 million). The token price has rallied in the wake of the news, rising to $1.88 today.
Decentralized exchange dYdX delayed its token unlocks for investors to Dec. 1 from Feb. 3, according to a note sent out to investors obtained by The Block.
The exchange was set to release 150 million tokens ($282 million) to investors, community members and the project’s treasury next month, a move that would have doubled the current supply — with more tokens to be unlocked over the following months. Postponing the unlocks for investors will reduce this amount by 83 million tokens ($156 million), shifting a significant part of the impact to the end of the year.
Under the new schedule, the 83 million tokens — 30% of the 277 million tokens destined for investors in total — will be unlocked On Dec. 1, according to the note. After that happens, 40% of the total tokens will unlock monthly over the following six months, then 20% over the following year and 10% the year after that.
DYdX is currently based on StarkEx, a zero-knowledge proof-powered layer running on top of Ethereum, but it’s in the process of abandoning this platform in favor of its own application-specific blockchain in the Cosmos ecosystem.
The price of dydx has rallied in the last few days, rising to $1.88 today from around $1.30 on Jan. 19. The token is now at its highest point since early December. Tokens in the wider crypto market have also grown during that time, but typically by much less.