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Optimism to sell $160M in OP tokens to 7 purchasers via private sale

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Ethereum layer-2 scaling resolution Optimism (OP) has disclosed plans to promote 116 million OP tokens to seven non-public consumers for treasury administration functions

At present costs, the sale will see $159 million value of OP tokens change palms.

Whereas some observers feared the sale would result in depressed costs from Optimism “dumping” its tokens in the marketplace, it appears unlikely that the sale of the tokens could have any materials influence on the value of OP, because of the sale being non-public.

Moreover, the tokens are being sourced from the unallocated portion of the OP token treasury — that means that they don’t seem to be a part of the circulating provide.

Optimism (OP) token worth over the previous 30 days. Supply: CoinGecko

As defined on the Optimism web site, the tokens are topic to a two-year lock up interval, that means that consumers are unable to promote them on secondary markets.

Consumers have been, nevertheless, granted permission to delegate the tokens to unaffiliated third events for governance functions.

Associated: USD Coin formally expands to Base and Optimism networks

In keeping with Optimism, this sale is a part of its authentic plan and is totally accounted for in its “authentic working finances of 30% of the preliminary token provide.”

The sale comes simply two days after Optimism introduced its third airdrop, the place 19.four million OP tokens had been allotted to greater than 31,000 addresses who took half in delegation actions regarding the community’s decentralized autonomous group (DAO), Optimism Collective.

Optimism, Polygon and Arbitrum stand as probably the most closely used layer-2 scaling options within the business.

Regardless of trailing behind Arbitrum when it comes to TVL, Optimism noticed its complete transactions eclipse that of Arbitrum in August, being pushed largely by a surge in exercise from Coinbase’s sandbox and the identification verification undertaking Worldcoin.

Journal: Are DAOs overhyped and unworkable? Classes from the entrance strains