Tokenlock is a cryptocurrency token vesting and locking smart contract service. It allows creators of tokens on blockchains like Ethereum to lock up their tokens for a set period of time or vest them over time to early investors and team members.
Tokenlock is a service that provides smart contract functionality to lock cryptocurrency tokens or vest them over a set schedule. It is most commonly used by blockchain projects that launch a new token, like on Ethereum, to demonstrate long-term commitment from the founding team and give early investors peace of mind.
The Tokenlock smart contracts lock up the tokens so they cannot be sold or transferred for a set period of time, which builds trust and shows investors that the team believes in the long-term potential of the project. The vesting contracts automatically unlock a certain number or percentage of tokens each month or at other intervals to be released to the owners.
Using Tokenlock helps decentralized blockchain projects emulate the vesting schedules and lockups that are common with venture-backed startups and employee equity compensation. By committing their tokens over multiple years, founders signal they are focused on the long-term success of their protocol versus short-term profits.
Overall, Tokenlock brings professional investor protections and procedures to the cryptocurrency ecosystem. For new projects launching a token, whether through an ICO, IDO or other method, utilizing Tokenlock is considered a best practice for building trust with early supporters.
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