StarkWare alters lockup duration for initial contributors in response to community apprehensions
In response to concerns raised by the community, StarkWare has made changes to the token lockup schedule for early contributors and investors. The company, known for its Ethereum scaling solution called STRK, received negative feedback and decided to adopt a more gradual approach to the release of tokens.
Previously, a significant number of tokens (around 1.3 billion) were set to be unlocked on April 15th. However, StarkWare has now revised the plan to ensure a smoother process.
According to the new schedule, token unlocks will occur gradually, with 64 million tokens being released each month until March 15, 2025. After that, the pace will increase to 127 million tokens monthly for the next two years until March 15, 2027.
By implementing this adjusted timeline, only 580 million tokens will be unlocked by the end of 2024, compared to the original plan of 2 billion. Additional gradual unlocks are also planned for the following years.
StarkWare made this decision after taking into account feedback from the community. The change comes shortly after a significant price correction for the STKR token, which dropped from approximately $6.30 to $3.50 within a few days. The volatility led to discussions within the Starknet community, with some expressing concerns about the potential market impact of a large token unlock scheduled for April.
Read more: Starknet token experiences a 17% decrease in value following airdrop distribution and listing on CEX.
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