How Does a Vesting Period for Bonded Tokens Prevent Immediate Price Dumping?

A vesting period is a time lock during which the bonded tokens are gradually released to the investor. This prevents the investor from immediately selling the entire discounted amount on the open market, which would cause a sudden price crash.

By spreading the token release over time, the vesting period allows the market to absorb the new supply gradually, minimizing negative price impact.