Story Protocol Reveals Tokenomics Ahead of Mainnet Launch

Intellectual property management protocol Story has released its tokenomics ahead of a planned mainnet launch.

Story’s IP token will secure the Layer 1 network via a proof-of-stake consensus mechanism. It will also act as a gas token for all transactions, and as a governance token.

Of the total supply of 1 billion IP tokens, more than half is set to be distributed to the community.

Story’s goal is to create a new framework for intellectual property (IP). It seeks to create an open and programmable market for IP.

Accusing artificial intelligence (AI) of undermining the traditional IP system, Story said in a blog post that centralized intermediaries “make exchanging, licensing, and monetizing IP opaque, expensive, and inefficient.” AI companies can’t make millions of individual licensing agreements, but as it stands, IP owners are getting nothing.

What Story is proposing is a peer-to-peer IP network built “to transform IP into a programmable asset class, enabling permissionless exchange, ownership, and monetization across AI and the broader internet.”

The ecosystem and community will get 38.4% of the tokens, the foundation will get 10%, and initial incentives will take another 10%.

Beyond that, early backers will receive 21.6% and core contributors 20%. These stakeholders will not receive any tokens for 12 months, with an unlock schedule stretching four years.

The initial distribution to the ecosystem, foundation and initial incentives will account for 25% of the IP supply.

Investors in Story include a16z, Polychain Capital and Hashed Fund.

Fair Staking

Staking rewards will follow a fair launch principle, with “no early staking rewards for the foundation or early contributors—the community earns rewards simultaneously with everyone else,” Story said.