CMC News

Backpack Exchange Unveils Tokenomics Plan

#Backpack will distribute 25% of its native token supply during the #token generation event, with 240 million tokens allocated to participants in its Points program and 1 million reserved for #MadLads NFT holders. The crypto exchange founded by former FTX employees disclosed the tokenomics structure on Monday.

The platform created pre-IPO and post-IPO tranches that each contain 37.5% of the 1 billion token supply. Pre-IPO tokens will unlock progressively based on growth triggers such as regulatory approvals, new product launches, and geographic expansion into markets like the EU, Japan, and the United States.

CEO Armani Ferrante stated the approach prevents dilution of retail holders by tying token releases to measurable economic activity rather than arbitrary time schedules. Each regional expansion or product launch creates an opportunity to distribute additional tokens as the platform grows its user base and revenue.

The post-IPO tranche will remain locked until at least one year after Backpack completes an initial public offering. These tokens will form the company's corporate treasury. Ferrante said the founding team receives no direct token allocations and instead owns equity in the company.

Team members can only realize value from the project after Backpack goes public or completes another equity exit event. The structure requires the company to access public capital markets and complete the regulatory work necessary for a listing before founders benefit financially from token appreciation.

Backpack joins other projects moving away from traditional lockup periods toward #metrics-based token distribution. #MegaETH recently decoupled its TGE from its mainnet launch using a similar framework tied to network development milestones and user adoption targets.

The exchange did not announce a date for the token generation event but indicated that additional details about the token's utility will be released soon.