TLDR:
- The token sale event will officially conclude at 20:00 UTC on January 24.
- Assets will be available and fully unlocked for users on February 2.
- The auction utilizes Fully Homomorphic Encryption (FHE) to prevent front-running and ensure fairness.
The recent update to the blockchain privacy ecosystem has placed the spotlight on the Zama Protocol token sale, an event that promises to redefine confidentiality standards in on-chain auctions.
Zama Protocol confirmed that the final stage of its distribution event will conclude on January 24. Unlike other launches, the protocol has opted for a Dutch auction format that leverages its advanced technology to ensure a fair market valuation.
Additionally, the company announced that token claims on the CoinList platform began on January 21, paving the way for the final delivery. This process is fundamental to the company’s vision, which seeks to integrate private computing directly into decentralized finance infrastructure.
Impact of the mass unlock and FHE technology on the market
The distribution strategy has generated diverse opinions among participants, especially due to the full unlock policy scheduled for February 2. On one hand, this offers immediate liquidity to investors; however, it also opens the door to significant volatility by drastically increasing the circulating supply in a short period.
Currently, ZAMA is trading around $0.06, reflecting a market capitalization of $140.25 million after facing a bearish trend in recent months. Consequently, analysts suggest that long-term success will depend on the adoption of its privacy infrastructure and the stability it can maintain after the release of 2.2 billion tokens.
In the coming days, both Ethereum wallets and exchange activity will be on the radar once the supply is fully distributed. Ultimately, Zama’s ability to transform computational privacy into an industrial standard will determine whether this launch manages to reverse the recent decline in its valuation.
