Governance token unlocking refers to the process through which holders of governance tokens gain access to their tokens after a vesting period or a specific event. Governance tokens are often used in decentralized finance (DeFi) projects and decentralized autonomous organizations (DAOs) to enable users to vote on proposals, changes, or funding allocations.Typically, when users receive governance tokens as part of a project’s launch or fundraising, there might be a delay before they can fully access and use them. This delay is designed to prevent immediate sell-offs and encourage long-term commitment from investors.Once the unlocking occurs, holders can participate in decision-making processes, express their opinions on project developments, or potentially exchange their tokens on various platforms. The unlocking mechanism often helps align the interests of the community and incentivizes active participation in the governance of the project. Overall, governance token unlocking plays a crucial role in ensuring that stakeholders have a say in the project while promoting stability and commitment to its growth.