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Trump’s Memecoin Set to Unlock $321 Million in Tokens on April 18

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Highlights:

  • Trump’s memecoin will release $321 million worth of tokens in a single day on April 18.
  • The token price has dropped 89% since January and may fall more after the large supply increase.
  • Trump’s unlock makes up over half of all tokens set to be released across projects during the same week.

A large token unlock is set to take place on April 18 as United States President Donald Trump’s official memecoin prepares to release 40 million vested tokens. According to data from Tokenomist, the project team will release the tokens in a cliff unlock, making them all available at once. A single-day token unlock from the current $8.26 trading price means roughly $321 million worth of tokens entering the market. The memecoin currently operates on the Solana blockchain, and the unlock will increase its circulating supply levels by 20%.

Projects implement token vesting schedules as a strategy to stop insiders and investors from prematurely selling their tokens. New projects choose to distribute their tokens gradually throughout their launch through time-release protocols. The Trump token project will release $4 million worth of tokens each day before reaching its next scheduled unlock date in July.

Though the unlock is a significant one-time event, the gradual increase in the circulating supply will continue over time. The full schedule is expected to last 36 months and will eventually increase the token supply from 200 million to 1 billion.

Price Volatility Expected Amidst Historical Trends and Investor Behavior

The Trump token reached its maximum value of $73.43 on January 19 leading up to the presidential inauguration. The token’s price has decreased to $8 from its maximum price and has experienced an 89% reduction since its peak in January. The rapid initial interest in the project led many investors to join the project before its value plummeted drastically.

Major tokens released to the market have caused abrupt price fluctuations in the crypto industry throughout its history. The Arbitrum team distributed $2.32 billion worth of ARB tokens in March 2024, trading at $1.89 during that period. After the token release, the market price dropped to $0.29, marking an 84% reduction from its initial value.

Trump’s token may not have the sell pressure from traditional holders, but token unlocks will affect the price as there will be an increased available supply. The more tokens that enter into the market, the greater the demand that is required to sustain the current price. Projects that experience similar unlocks often see price shifts depending on how quickly newly available tokens are sold.

Other Major Unlocks Scheduled for the Same Week

Alongside Trump’s memecoin, other major projects plan to release vested tokens during the week of April 14 to 20. In total, $519 million worth of tokens are expected to be unlocked across several projects. Trump’s token unlock alone represents 61% of that amount.

Fasttoken will unlock 20 million tokens worth $80 million, which are allocated to the team and founders. The founders, team members, and private investors of Arbitrum will receive more than $27 million worth of ARB tokens. At the same time, Starknet will release 127 million STRK tokens worth $16 million. Each of these unlocks leads to an overall increase in the amount of token supply circulating in the market.

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