UXLINK falls 15% as community votes on early token unlock to compensate $30M hack victims

UXLINK token fell 15% to $0.120 on Thursday, extending its 30-day losses to 62% as investors braced for a community vote on an early UXLINK token unlock. Trading volume surged 612% to $119.9 million, reflecting heightened uncertainty in the market.

At press time, UXLINK was down 96% from its all-time high of $3.68 set in December 2024. The week’s volatility saw prices swing between $0.1066 and $0.1907. Derivatives activity mirrored the spot market surge, with CoinGlass reporting a 733% jump in volume. However, open interest declined 15%, indicating traders were exiting positions instead of adding exposure.

That shift in behavior suggests uncertainty ahead of the October 4 governance vote on the Ethereum mainnet, where holders will decide whether to approve the UXLINK token unlock.

Early unlock linked to hack compensation

The governance proposal, announced October 3, seeks approval for an early release of tokens from team, treasury, and community allocations. Normally scheduled for a 24–48 month vesting period, the accelerated UXLINK token unlock would provide liquidity for compensation after the September 22 hack that drained an estimated $30–44 million, according to security firms PeckShield and Hacken.

UXLINK has since deployed a new audited contract with a fixed supply and launched a migration portal on October 1. Holders affected by the hack are eligible for 1:1 swaps, while mid-hack and post-announcement buyers face adjusted tiers. The project stated that early unlocks are designed to “accelerate compensation and support trading resumption on major exchanges.”

Divided community and market risks

Analysts note that if the proposal passes, 5–10% of the total supply could enter circulation sooner than planned. While this dilution risk weighs on market sentiment, the UXLINK token unlock could also restore confidence by enabling faster repayment and improving the odds of relistings on leading exchanges.

Community members remain split. Some view the early release as necessary to stabilize the project after the hack, while others fear added selling pressure will push prices lower.

Exchange relistings key to recovery

The future of UXLINK now hinges on the October 4 vote. Approval of the UXLINK token unlock could pave the way for compensation, liquidity recovery, and renewed exchange listings. A rejection, however, risks prolonging uncertainty and further eroding investor confidence.

Market watchers argue that the outcome will define short-term sentiment: either triggering a rebound similar to other post-hack recoveries or extending UXLINK’s steep decline. For holders, the governance decision will determine whether the project can deliver a credible path back to stability.