Disclaimer: The opinions expressed by our writers are their own and do not represent the views of U.Today. The financial and market information provided on U.Today is intended for informational purposes only. U.Today is not liable for any financial losses incurred while trading cryptocurrencies. Conduct your own research by contacting financial experts before making any investment decisions. We believe that all content is accurate as of the date of publication, but certain offers mentioned may no longer be available.
As part of Polygon's plan, 1.4 billion MATIC tokens were unlocked from the vesting contract this morning. This volume is equivalent to 14% of the total token supply, or 10 billion MATIC. Meanwhile, if CoinMarketCap data is to be believed, the total circulating supply of the token equals 8.035 billion MATIC.
As Polygon co-founder Sandeep Nailwal explains, the unlocking was planned and affected MATIC tokens that were blocked a year ago. Interestingly, despite the end of the vesting period in April of this year, the tokens have only been claimed now.
This was a planned movement from the tokens which as per vesting have been unlocked 1 year back. These are staking, foundation treasury etc.
If any doubts, Read more on the announcement.👇👇
One big announcement tomorrow regarding the same🎉✌️ https://t.co/szSaa0P76G https://t.co/yNt5lxkEaa— Sandeep | Polygon 💜🔝3️⃣ (@sandeepnailwal) August 1, 2022
The 1.4 billion unlocked MATICs are divided into three groups, of which:
- 640 million MATICs belong to the project team
- 546.6 million MATICs go to the project team
- 200 million MATIC are distributed as a reward for staking
Nailwal also said to expect a big announcement from the Polygon team about MATIC vesting in the following days.
MATIC price review
The crypto market certainly reacted to such a large-scale emergence of new MATIC tokens from the vesting. The token momentarily fell by 6% but managed to recover its quotes in a couple of hours and win back half of the fall.
At the moment, MATIC's price is hovering around the mark of $0.9 per token. After MATIC plummeted from its all-time high of $2.92 by over 90% to the $0.3 level, it began to rise steadily, fueled by good news. As a result, since mid-May, the token has shown an increase of more than 190%.
MATIC is now approaching the important $1 dollar resistance level, but it is worth waiting for further clarification from Polygon regarding unlocking tokens before gaining MATIC positions.
Godfrey Benjamin
Dan Burgin
Alex Dovbnya
Vladislav Sopov