How token vesting protects early investors — and when it doesn't

Vesting is the schedule on which purchased tokens become tradable. It exists to stop any party — team, fund, or early buyer — from selling into the first hour of liquidity. For early investors it cuts both ways: it protects the market you are selling into, and it locks you in while that market develops.

The failure mode to watch is a mismatch between your unlock and the emissions around you. If the team and treasury unlock faster than your allocation, you carry the dilution. Reading the full unlock table — every cohort, not just your own — is a core part of our due-diligence checklist.

OTC allocation markets partially solve the lock-in problem: members who need liquidity before TGE can sell their vested claim to another member at a negotiated price. Our allocations trade this way through Spring's pre-market.

This article is research and education, not investment advice.