To lose one's mind as a result of a major emotional shock, from the pilot episode of the television series Wonderfalls:
(Jaye discovers that her sister Sharon is a lesbian)
Jaye: Does Mom know?
Sharon: She would unspool!
Jaye: Can I tell her?
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A word used by 4chan losers to describe someone they believe is "going crazy".
LOL I caught you online on the forums at 3 AM UR unspooling
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