The cryptocurrency market is preparing for another wave of token unlocks this week, with more than $50 million worth of previously locked assets scheduled to enter circulation between July 20 and July 25. According to data from Token Unlocks and Tokenomist, LayerZero’s ZRO, KAITO, and Humanity Protocol’s H will account for the largest releases during the period.
Token unlocks increase the circulating supply of a cryptocurrency and are closely monitored by traders because they can introduce additional selling pressure, particularly when allocations are released to investors, contributors, or early backers. However, the actual market impact often depends on investor sentiment, liquidity, and each project’s long-term fundamentals.
LayerZero Leads This Week’s Unlocks
LayerZero is set to carry out the largest unlock on July 20, releasing approximately 25.71 million ZRO tokens valued at between $20 million and $23 million. The release represents roughly 4.6% of the token’s circulating supply.
The unlocked tokens are allocated primarily to strategic partners and core contributors under the project’s vesting schedule. LayerZero has previously introduced token buyback initiatives funded through Stargate protocol revenue, a strategy that could help offset some of the additional supply entering the market.
ZRO has shown modest weakness ahead of the scheduled unlock as traders position themselves for the increased circulation.
KAITO Unlock Scheduled for July 20
Also scheduled for July 20 is a major unlock for KAITO, the AI-powered Web3 search and information platform.
The project will release approximately 17.6 million to 17.8 million KAITO tokens, with an estimated market value of between $14 million and $17 million. The unlock represents about 4.3% of the circulating supply.
The released tokens are distributed across ecosystem development, early supporters, contributors, and other allocations under vesting schedules that extend through 2029. KAITO continues to expand its AI-driven platform for discovering and analyzing blockchain data across the Web3 ecosystem.
Humanity Protocol Records Largest Relative Unlock
Humanity Protocol is scheduled to unlock approximately 266 million to 268 million H tokens on July 25, valued at around $15 million to $16 million.
Although its dollar value is smaller than LayerZero’s release, the unlock represents approximately 8.6% of Humanity Protocol’s circulating supply, making it the largest percentage increase among this week’s major events.
The digital identity network continues to develop its Sybil-resistant verification infrastructure following earlier security challenges. Its token distribution includes allocations for ecosystem incentives, investors, contributors, and identity rewards through an ongoing vesting program.
Market Watches Supply Expansion
July has already become one of the busiest months of 2026 for scheduled token unlocks, with additional projects also releasing previously locked assets throughout the month.
While token unlocks are often anticipated well in advance and may already be reflected in market pricing, they remain closely watched because sudden increases in circulating supply can contribute to short-term volatility.
Market participants will be monitoring trading activity, on-chain wallet movements, and project announcements to gauge whether recipients retain their allocations or move tokens onto exchanges.
