Token unlocks strategies are still printing? Many people still don't know or ignore its existence. Here's why it's important {Explain like I'm five version} / 🧵

>| α / {What’s the deal with Token Unlocks?} > Token unlocks are when coins that were locked up {like for the team, investors, or community rewards} finally hit the market. > When tokens unlock, supply increases, potentially lowering prices if holders sell. > Sites like @Tokenomist_ai show when coins launch, who gets them, and what part of the supply is released, dates and more

>| β / "How it exactly works? 1/2" > Token unlocks occur through vesting schedules using smart contracts or multisigs. > When unlock dates hit -> tokens become transferable -> letting recipients sell, stake, or move them, which can spike supply and pressure prices. > On-chain, you’ll see vesting contracts releasing tokens, big wallet moves, and exchange inflows...

>| γ / ...2/2 > After token unlocks, restricted tokens are released, leading to price swings or dumps. > Vesting aligns early investors with long-term goals, but big holders may sell gradually or use OTC deals and derivatives. > This means that, unlock events offer both risks and opportunities at the same time, and smart people play on this.

>| δ / "What about strategies?" > VCs often use over-the-counter {OTC} deals to sell large amounts of tokens without crashing the market. > Instead of dumping on exchanges, they work with OTC desks to privately match with big buyers at a negotiated price, usually just under market. > This approach helps them avoid slippage, maintain anonymity, and structure deals with greater flexibility.

>| ε / VCs sell unlocked tokens in smaller parts during market pumps and may buy dips to reduce costs. > They hedge using derivatives like shorting futures, buying puts, or selling calls to secure profits and limit risks. > Some aim for delta-neutrality, partnering with market makers to profit regardless of price movements.

>| ϝ / Tho... Retail traders like you and me can’t hedge like VCs, but we can track vesting schedules, spot upcoming unlocks, and plan around potential sell pressure. > Avoid jumping in before major unlocks, and monitor on-chain activity, price, and volume for hints. > Consider trimming positions or setting stops, not all unlocks are bad, solid projects might absorb them well.

> Tagging real chads of CT? Not following them? Think about it again: > @belizardd @DeRonin_ @kem1ks @splinter0n @terra_gatsuki @0xAndrewMoh @KingWilliamDefi @0xJok9r @0xDepressionn @cryppinfluence @CryptoShiro_ @the_smart_ape @AlphaFrog13 @0xTindorr @Hercules_Defi @eli5_defi @CryptoGideon_ @0x99Gohan @rektdiomedes

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