Billion Was Unloaded From This Altcoin To The Market! What happens to the price? –

The dYdX Foundation has issued 1 billion DYDX tokens. The initial allocation of DYDX tokens is reserved for past investors, founders, employees, advisors and advisors. So what would be the potential impact of unlocking tokens on altcoin price?

1 billion DYDX tokens to manage the protocol

The dYdX Foundation, a Swiss non-profit organization, has recently released new governance tokens for the Layer-2 protocol on the Blockchain. The purpose of the token is to allow the community to manage the protocol. In addition, it aims to harmonize incentives between traders, liquidity providers and partners. The DYDX token also builds an ecosystem around governance, rewards, and sharing, designed to enable the growth and decentralization of the Layer 2 protocol.

cryptocoin.comAs you follow, a total of 1 billion DYDX tokens have been minted starting August 3, 2021 and are scheduled to be available within five years. A portion of the initial allocation includes former investors (27.7%) of dYdX Trading Inc., founders, employees, advisors and advisors of dYdX Trading Inc., and the dYdX Foundation (15.3%) and the dYdX Trading Inc. (7.0%) was reserved for future employees and consultants.

Source: dYdX Foundation

The transfer restriction on tokens is enforced by the dYdX Foundation and dYdX Trading Inc. implemented by off-chain contract agreements with dYdX Foundation monitors wallet addresses to determine if any transfers that violate the restriction have been made. If so, the Foundation may express its willingness to take legal action against investors who do not comply.

dYdX Trading Inc. and the dYdX Foundation’s former investors, founders, employees, advisors are subject to the transfer restriction scheme set forth in the recently modified investor warrants. About 99.5% of locked tokens remain locked under the new transfer restriction scheme. The recent change to investor guarantees did not change the phased unlock program. Tokens will be released from the transfer restriction as follows:

  • 30% on December 1, 2023 (new First Unlock Date)
  • 40% in equal monthly installments from January 1, 2024 to June 1, 2024
  • 20% from 1 July 2024 to 1 June 2025 in equal monthly installments
  • 10% in equal monthly installments from 1 July 2025 to 1 June 2026

What will be the potential impact of altcoin price?

The potential impact of newly minted tokens on the market and the price action of this cryptocurrency is subject to change. The overall supply and demand of the governing token can depend on a variety of factors, including the purpose of the token issuance, market sentiment, and the regulatory environment.

In some cases, it is possible that a large influx of newly minted tokens will cause an increase in supply and a decrease in demand. Such dynamics potentially lead to a drop in altcoin price. On the other hand, if newly minted tokens are used to incentivize certain behaviors or drive growth for the underlying platform, it could also lead to increased demand for the token. This is also likely to potentially cause a price increase.

Finally, it is worth noting that the impact of newly minted tokens on an altcoin price action is complex and subject to market forces. The management token is a unique and innovative way for the community to manage the dYdX Layer-2 protocol. Therefore, it will be interesting to see how token distribution and unlock periods progress in the coming years.

Contact us to be instantly informed about the last minute developments. twitterin, Facebookin and InstagramFollow and Telegram and YouTube join our channel!

Risk Disclosure: The articles and articles on do not constitute investment advice. Bitcoin and cryptocurrencies are high-risk assets, and you should do your own research and due diligence before investing in these currencies. You can lose some or all of your money by investing in Bitcoin and cryptocurrencies. Remember that your transfers and transactions are at your own risk and any losses that may occur are your responsibility. does not recommend buying or selling any cryptocurrencies or digital assets, nor is an investment advisor. For this reason, and the authors of the articles on the site cannot be held responsible for your investment decisions. Readers should do their own research before taking any action regarding the company, assets or services in this article.

Disclaimer: Advertisements on are carried out through third-party advertising channels. In addition, also includes sponsored articles and press releases on its site. For this reason, advertising links directed from are on the site completely independent of’s approval, and visits and pop-ups directed by advertising links are the responsibility of the user. The advertisements on and the pages directed by the links in the sponsored articles do not bind in any way.

Warning: Citing the news content of and quoting by giving a link is subject to the permission of No content on the site can be copied, reproduced or published on any platform without permission. Legal action will be taken against those who use the code, design, text, graphics and all other content of in violation of intellectual property law and relevant legislation.

Show Disclaimer

source site-3