The governance token of Ondo Finance, a platform for tokenizing real-world assets, is about to undergo a significant unlock.

Tokenomist reports that Ondo Finance’s ONDO -1.61% Over 1.9 billion locked ONDO tokens will be unlocked by Ondo on January 17, 2025, at 7:00 PM EST. An estimated $2.44 billion is the overall value of the unlock, which represents a 134% influx. The forthcoming ONDO release will be split into three major allocations, according to Tokenomist, formerly TokenUnlocks:

About 825 million ONDO (42%) is set aside for protocol development, while about 792 million ONDO (40% of the unlock) is designated for ecosystem growth. Private sales will be conducted using the remaining tokens.

The market typically reacts negatively to large token unlocks, which could result in a decline in the price of ONDO. As the protocol approached the enormous supply influx, the altcoin was trading at about $1.25, slightly down for the day.

But in the year since its last token unlock, ONDO’s price increased in tandem with the market as a whole. Over the past year, the value of the cryptocurrency has increased by 673%, rising from lows of $0.26. With its Ondo U.S. Dollar Yield and Ondo Short-Term Government Bond Fund among tokenized treasury assets, Ondo Finance has also seen notable momentum in the RWA market, propelling the market to $4 billion, a 100% increase in the last year.

The total value locked in Ondo Finance increased from $192 million in January 2024 to a peak of $650 million in October, according to DeFiLlama. The TVL was $543 million at the time of writing.