Both Sandbox (SAND) and ApeCoin (APE) are about to activate the “token unlock”, releasing additional units into the market that will be added to the current circulating supply.
What effect will this event have on the price of the two cryptocurrencies?
Sandbox (SAND) and ApeCoin (APE): the situation before the token unlock
Sandbox (SAND) and ApeCoin (APE) are unlocking tokens, releasing a cumulative value of 125 million dollars in tokens on the market.
Specifically, SAND has already been released for a value of 95 million dollars, while APE will be released on February 17th for a value of almost 25 million dollars.
So, at the time of writing, the SAND tokens have already been unlocked by sliding the price of SAND from $0.48 to $0.46, and then recovering in the last few hours. At the time of writing, in fact, SAND is worth $0.48.
The unlock represents 10% of the total SAND supply and will bring the total supply in circulation to almost 90%.
As for ApeCoin, the unlocking of tokens will take place on February 17th, and represents just over 2.5% of the circulating supply.
During this waiting period, APE seems to record a +4.45% price pump in the last 24 hours. Currently, in fact, APE is worth $1.57.
Sandbox (SAND) and ApeCoin (APE): how does token unlocking work?
In reality, when the unlocking of crypto project tokens occurs, what can happen is an increase in selling pressure, if the demand for the token does not keep up.
And in fact, unlocked tokens become available for trading, buying and selling after the end of their maturity period. Not only that, these tokens are typically matured for early investors, treasury, and public sale investors.
The short-term sale that usually occurs in these cases has been well managed by SAND, which is already in the recovery phase.
To be discovered, instead, will be what will happen to APE since the crypto is already now in a price pump.
Real-time competition in gaming and the launch of the Accelerator
Recently, The Sandbox announced its collaboration with Unstoppable Domains, to organize a first real-time competition dedicated to award-winning professionals of the game studio.
This is Unstoppable Experience, which also wants to inaugurate the entry into the decentralized metaverse of the leader in the supply of Web3 names and domains.
The experience includes a live multiplayer game, where up to four players compete to achieve the highest score by painting the most tiles in the MetaCube with their own avatar.
Going back in time to October 2023, ApeCoin instead launched its official Accelerator together with Forj, the subsidiary of Animoca Brands. The goal is to strengthen the ApeCoin ecosystem and improve opportunities for APE holders.