Token unlock

A token unlock is the point when previously locked or vesting tokens become transferable, increasing the supply that holders such as teams and investors are able to sell. The Arbitrum Foundation set the first unlocks for team and investor ARB one year after the 16 March 2023 token generation event, followed by monthly unlocks for three years. Its own allocation unlocks linearly over four years from 17 April 2023, enforced by a vesting smart contract wallet.

Unlocks change the numbers market data sites print. CoinGecko's methodology calculates circulating supply for smart contract tokens by deducting locked tokens, such as foundation, investor and team allocations, from total supply, so an unlock adds to circulating supply and, at a given price, to market capitalization. Fully diluted valuation already counts every token, locked or not. Unlock dates belong in a project's tokenomics and vesting schedule.