The layer 2 scaling network, Arbitrum is releasing 1.11 billion ARB tokens in its upcoming unlock event in March 2024. The amount of token unlock is approximately $1.25 billion, as per the current market rate of $1.12.
According to the data from Token Unlocks, the event will take place on 16th March next year with Arbitrum assigning these tokens to team, advisors and investors. The dashboard shows that 49% or 4.9 billion ARB tokens are currently unlocked.
This is the first major token unlock and it is a part of Arbitrum’s 4 years token release plan. It consists of tokens for team and investors as in non-economic release after a one year cliff.
Arbitrum has emerged as a leading Ethereum scaling solution with it nearing a $2 billion TVL and becoming the 4th largest crypto ecosystem.
Post this unlock, Arbitrum will release tokens from this allocation every month within the next 4 years of timeline.
Token unlocks are often considered a bearish event for the asset’s market as it massively increases token supply in the market.