'Liquid Vesting' Is Oxymoronic Blockchain Feature That Lets Early Investors Sell Without Waiting

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Margaux Nijkerk reports on the Ethereum protocol and L2s. A graduate of Johns Hopkins and Emory universities, she has a masters in International Affairs & Economics. She holds a small amount of ETH and other altcoins.

Even in anything-goes crypto trading, there are conventions designed to protect the little guy. One of those is the vesting period – a window of time following a digital-token sale or airdrop where early investors, such as founders, project contributors and venture-capital backers, are locked up from dumping their allocations.

Now comes a new feature from Colony Lab, a developer and project incubator in the Avalanche blockchain ecosystem, called"liquid vesting." “Liquid vesting allows early investors to trade their tokens before they invest without impacting the projects, without impacts in the secondary market,"said Wessal Erradi, co-founder of Colony Labs.

 

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