41% of the largest addresses that received new ZK tokens from zkSync have already sold their holdings. This led to a sharp drop in the price of the asset.
On June 17, the second level (L2) solution zkSync was airdropped for ZK 3.6 billion. According to the analytical platform Nansenalmost half of the 10 thousand top wallets have already sold the received tokens.
Only 30% keep ZK
About 29.1% got rid of at least part of the assets received during the ZK airdrop. In total, according to Nansen, users sold 486 million coins. Just over 30% of the top wallets still hold their tokens.
Nansen’s analysis covers the 10 thousand largest wallets. They represent only 1.4% of the total number of addresses eligible to participate in the zkSync airdrop – 695 thousand. Despite this, their activity had a significant impact on the price of ZK.
Data on addresses that sold and held ZK. Source: Nansen
After reaching a maximum of $0.32 shortly after launch, the asset’s quotes fell by 25.9% to $0.22. According to CoinGeckoat the time of writing, ZK’s capitalization is $824 million, and the daily trading volume is $1.4 billion.
The influx of users led to a network outage
The zkSync airdrop resulted in significant activity on the L2 network. As noted by the zkSync Association, created by the developers of Matter Labs, 45% of tokens were branded in the first two hours. It’s even led to blockchain overload.
According to Dune, to date, about 513 thousand wallets have claimed to have received 74% of the coins allocated for the airdrop. In total, ZK 2.8 billion has fallen to participants’ addresses so far.
Number of branded ZKs. Source: Dune
The total supply of ZK is 21 billion tokens with a full market value of $4.4 billion. So far, only 17.5% are in circulation.
What led to the sales
Massive sales by major wallets followed widespread criticism of zkSync. Users complained about unfair coin distribution criteria. Only 13% of wallets were allowed in, many of which were “sybils.”
Amid ongoing debate, the world’s largest cryptocurrency exchange, Binance, announced a fund distribution program. During this program, the site will distribute an additional 10.5 million ZK among 52 thousand users.
Source: Cryptocurrency
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