BREAKING: Starknet (STRK) Steps Back After Backlash, Changes Token Locking Program – Price Reacts

BREAKING: Starknet (STRK) Steps Back After Backlash, Changes Token Locking Program – Price Reacts

StarkWare, developer of Starknet (STRK), announced a significant change to its token locking program for early participants and investors. The decision came after the backlash the company received from its ecosystem partners and collaborators.

StarkWare has decided to make its lock-in program more gradual for its early participants and investors.

Tokens held by StarkWare’s early participants and investors are known to be subject to a lock-up. These groups include those who supported StarkWare’s efforts during the initial research and development phase of Starknet. Approximately one-third of the tokens held by these early participants and investors, approximately 1.3 billion, were to be unlocked on April 15. However, StarkWare reviewed the feedback and decided to adjust the unlock timeline.

STRK price showed a slight positive response following the announcement.

According to the revised schedule, of the 10 billion tokens originally minted, only 0.64% (64 million tokens) will be unlocked on April 15, as opposed to the planned 13.4% (1.34 billion tokens). The gradual unlocking process will continue at a rate of 0.64% (64 million tokens) per month until March 15, 2025. After this date, the rate will change to 1.27% (127 million tokens) per month for the next 24 months until March 15, 2027.

Under the new unlocking plan, 580 million tokens held by early participants and investors will be unlocked by the end of 2024, compared to 2 billion tokens under the previous program. An additional 1.4 billion tokens will be gradually released by the end of 2025, 1.5 billion tokens by the end of 2026, and the remaining 380 million tokens by March 15, 2027.

*This is not investment advice.