Aptos (APT) Set to Unlock 11.31 Million Tokens Valued at $60M on August 12th

In just four days, Aptos, a leading Layer-1 blockchain, is set to unlock 11.31 million APT tokens valued at approximately $60 million.

Aptos Layer-1 blockchain to unlock 11.31 million APT tokens on August 12th

Aptos, a Layer-1 blockchain known for its high throughput and low latency, is set to unlock 11.31 million APT tokens on August 12th. This event, a part of Aptos’ tokenomics, will release a batch of tokens that have been locked since the blockchain's launch.

According to data from Aptos Metrics, these tokens are allocated as follows: 1.33 million to the Foundation (0.28% of the circulating supply), 3.21 million to the Community (0.68%), 3.96 million to Core Contributors (0.84%), and 2.81 million to Investors (0.60%).

In total, this batch of tokens is valued at approximately $60 million, given APT's current price of $5.2. Notably, this unlock represents only 2.4% of APT's circulating supply, which might not be substantial enough to trigger a significant sell-off pressure in the market.

However, the impact of this event on the APT price will largely depend on the market conditions and investors' sentiment at the time of the unlock.

To put things into perspective, let's examine how the past three token unlocks, at a similar percentage of the circulating supply, influenced the APT price:

During the mini bull run of 2023, the price of APT experienced a surge, rising from $7.7 to nearly $18. This occurred during the second token unlock on November 12th. The market cap surpassed $5 billion, and the fully diluted valuation (FDV) exceeded $18 billion during this bull run. Interestingly, the token unlock did not trigger a significant sell-off, and the price continued to rise. This might be due to the strong market sentiment and demand for APT during that period.

In recent months, APT has seen a sharp price correction, dropping from $18 to around $5. In downtrending markets, token unlocks can exert more pressure on prices, raising concerns about the upcoming event.

Aptos’ Tokenomics And Past Unlocks

Aptos launched its mainnet in October 2022 with an initial circulating supply of 130 million APT tokens. The blockchain aims to achieve a total token supply of 1 billion APT over ten years.

As part of its tokenomics, Aptos allocates a portion of these tokens to be unlocked periodically, starting with 11.31 million tokens around the 12th of each month. This process will continue until October 2026, gradually releasing more tokens into the market.

The remaining tokens are set to be unlocked over the following years, with varying schedules for different categories of holders, including the Foundation, Community, Core Contributors, and Investors.

These periodic token unlocks have been closely monitored by investors, as they can influence the price of APT in the short term.

However, it's important to note that the overall market conditions, investors' sentiment, and the demand for APT will play a significant role in determining the precise impact of these unlocks on the market.