Safe (SAFE) tokens witnessed a sharp decline of 42% in price, dropping from $3.26 to $1.88 since the token contract's transferability was unlocked on April 23.
Safe (SAFE) tokens witnessed a sharp decline of 42% in price, dropping from $3.26 to $1.88 since the token contract's transferability was unlocked on April 23. The project's decentralized autonomous organization (DAO) had implemented a two-year lock on the tokens, which was lifted on April 23, allowing holders to transfer their tokens. The decision came after a vote from SafeDAO, with an overwhelming 99.1% of participants supporting the proposal.
A spokesperson from Safe stated that the DAO purposely delayed the release of tokens to ensure progressive decentralization. The DAO collaborated on a roadmap, focusing on areas such as governance processes and resource allocation. This approach ensured the maturity of these aspects before unlocking the tokens.
The spokesperson clarified that the proposal for token transferability was only put forth after meeting the milestones set by the DAO. They emphasized that the unlocking of SAFE tokens would enhance the Safe ecosystem, enabling better user experiences through smart accounts. They viewed it as a significant milestone in the journey towards facilitating easy and accessible digital ownership.
Despite the lack of token transferability and the challenging crypto winter, the Safe team reported a remarkable growth in their user base, expanding by 22 times. Additionally, they claimed to have secured $100 billion in assets and witnessed the creation of 7.5 million accounts.
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