CZ Proposes Conditional Token Unlocks to Combat Market Flooding
Conditional Token Unlocks Explained
A key aspect of CZ’s model is that future token unlocks are strictly conditional. Each unlock is to occur only if it happens at least six months after the previous one and only if the token’s price has sustained at least twice the previous unlock price for more than 30 days. Additionally, the maximum tokens released at each stage would be capped at 5% of the total supply. For example, a token launched at $1 in January would not see an additional unlock in June unless its price exceeds $2 for 30 days. If by August 3 the price reaches $3, the next unlock would be postponed until March 3 of the following year, and would only proceed if the price climbs to $6 for the required period.
No New Launch Plans and Market Context
While sharing this innovative tokenomics model, CZ clarified that he has no plans to launch a new coin, emphasizing that the proposal is not a one-size-fits-all solution. This idea comes at a time when concerns over pump-and-dump schemes are growing, particularly after the LIBRA token collapse that saw its price surge and then crash, wiping out over $4.4 billion in value. CZ has previously expressed his discontent with market manipulation and has even donated tokens to help compensate victims of fraudulent schemes.
