1Inch, which operates as a decentralized exchange aggregator, has recently gone through a big unlock, which resulted in the release of tokens from their vesting schedule that are today worth $111 million. According to reports, almost 222,187,500 1INCH tokens (worth $111.426 million) got freed on the last day of this year, while 888,750,000 (59.25%) of the total number of 1INCH tokens will remain locked.
1Inch’s Vesting Schedule
In December of 2020, the DEX aggregator successfully launched its own native cryptocurrency. Only 6% of the entire supply was made available at that time, while the remaining tokens were locked away in a vesting schedule that would last for four years and conclude in December 2024.
Price Fall On Earlier Unlock
As is the case with other DeFi projects, tokens were first dispersed among a variety of entities, including the core team, investors, advisors, and members of the community. And as per data, 450 million of those tokens were allocated for community incentives, while 217.5 million tokens were assigned for the protocol’s growth fund.
The most recent unlock of the 1INCH token occurred in June. The spot price of the coin decreased by 25% throughout that time period, going from $0.81 to $0.60. As a result of the widespread bear market in cryptocurrencies, the price of the token has decreased by more than 80% this year.
Community Fear Spreads
A number of people within the community have voiced their concern that the impending unlock would result in an excessive selling of the 1Inch tokens. Some even fear that the value of the token could fall by up to 40% in the coming days.
#1inch looks bearish for the next couple of monthsadvertisement
The price is losing the vital $0.51 support.
We can easily see a -40% drawdown from here
👉 Big #1inch Unlock is coming! ~ 222.1M tokens will be unlocked on December 30th❗️
For reference, current circulating supply is 664.9M pic.twitter.com/Il4a1XXHCU
— CryptoBullet (@CryptoBullet1) December 4, 2022
1INCH Price Reaction
Over the past 24 hours, the price of 1INCH has decreased by 0.5%, reaching $0.48, at the time of writing. Over the course of the previous week, the DEX token has experienced a decline of 4.3%.