<![CDATA[<figure class="image"><img src="https://cimg.co/news/125561/331546/fund-outflows-media-libra.jpeg" alt="" srcset="https://cimg.co/news/125561/331546/responsive-images/fund-outflows-media-libra___media_library_original_1920_1280.jpeg 1920w, https://cimg.co/news/125561/331546/responsive-images/fund-outflows-media-libra___media_library_original_1200_800.jpeg 1200w, https://cimg.co/news/125561/331546/responsive-images/fund-outflows-media-libra___media_library_original_900_600.jpeg 900w, https://cimg.co/news/125561/331546/responsive-images/fund-outflows-media-libra___media_library_original_720_480.jpeg 720w, https://cimg.co/news/125561/331546/responsive-images/fund-outflows-media-libra___media_library_original_600_400.jpeg 600w, https://cimg.co/news/125561/331546/responsive-images/fund-outflows-media-libra___media_library_original_300_200.jpeg 300w" sizes="100vw" width="1920" class="content-img"><figcaption>Source: Unsplash/Maxim Hopman</figcaption></figure>Ethereum layer 2 network Optimism faces headwinds as its price slumps nearly 10% in the week ahead of the planned token unlock on Sept 30.At press time, the price of OP <a href="https://coinmarketcap.com/currencies/optimism-ethereum/">exchanges hands at $1.26</a> falling by 9.29% over the past seven days. After a sharp fall slightly above 3% yesterday, the token significantly regained its momentum in the last 24 hours.Despite this, the token is caught in the middle of sliding crypto prices declining 15.37% in the past 30 days as other altcoins fall in similar numbers.OP is now the biggest loser this week among the top 50 assets ranked by market capitalization followed by Toncoin (<a href="https://cryptonews.com/coins/toncoin/">TON</a>) and VeChain (<a href="https://cryptonews.com/coins/vechain-thor/">VET</a>).&nbsp;<h2 id="token-unlock-in-a-few-days">Token unlock in a few days&nbsp;</h2>The sharp decline in OP in the market comes within days of its scheduled token unlock. The plan will see the project unlock 24.16 million OP tokens about $31.1 million in current prices.&nbsp;According to <a href="https://token.unlocks.app/optimism">data from the crypto platform Token Unlocks</a>, the 24 million OP tokens account for 3% of its circulating supply.Per the planned tokenomics, $15.49 million would be distributed to core contributors while $14.26 million has been earmarked for investors.&nbsp;The recent decline in prices to the build-up of the token unlock can be expected because while scarcity drives up prices, increased supply can affect the price of an asset.&nbsp;Most crypto companies rely on token unlocking programs to achieve many things relating to the supply as it is part of the tokenomics roadmap.&nbsp;Rather than pump all tokens at once, most projects prefer to roll them out in phases for price and as a way of community engagement.&nbsp;Aside from Optimism, several other projects like 1inch, Yield Guild Games and Euler (EUL) will unlock tokens in the coming days. 1inch will unlock 15,000 tokens worth $38.8 million while Yield Guild Games and Euler will unlock 12.4 million tokens worth $2.6 million and 153,000 tokens worth $410,000 respectively.&nbsp;<h2 id="optimism-community-engagement">Optimism community engagement&nbsp;</h2>Optimism is among the Ethereum layer 2 networks that have rolled out community rewards in a bid to boost participation in the last few months.&nbsp;In July the network unlocked 3.56% of its total circulating supply worth approximately $36.92 million at the time.&nbsp;The project also rolled out a third community airdrop of 19,411,313 OP tokens about $27 million. The platform mapped out over 31,000 addresses based on their community participation, governance votes, and OP holdings.&nbsp;<figure class="media"><oembed url="https://twitter.com/optimismfnd/status/1703837786703335672?s=46&amp;t=sCvh3f3rMDfXyJcf1y1Eyg"></oembed></figure>To boost community interaction it has been disclosed that 570 million OP tokens will be distributed in future airdrops.
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Optimism Plunges 9.29% Ahead of $30 Million Token Unlock -What’s Going On?

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