Backpack, a crypto exchange created by former FTX employees, plans to introduce a new token with a total supply of 1 billion units.
The exchange announced on X that the token release will begin with 25% of the supply, or 250 million tokens. The company has not yet shared the exact launch date.
A further 37.5% of the supply, equal to 375 million tokens, will be released before any public listing. According to CEO Armani Ferrante, these tokens will unlock only after the company reaches certain goals, such as entering another market or launching a new product.
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The remaining 375 million tokens will stay locked until one year after the company goes public. Backpack plans to hold these tokens in its corporate treasury until that time.
Ferrante explained in a separate post that the token structure is designed to prevent “insiders ‘dumping on retail”. He said no team member or investor should benefit from the token unless the company first reaches strong business growth.
According to him, that point would come once Backpack completes an initial public offering.
He also noted that the timeline for going public is uncertain. He said:
Going public might happen quickly, it might happen not so quickly, and in fact, it might not happen at all.
Backpack recently launched private beta testing for a new platform, known as the Unified Prediction Portfolio. How does it work? Read the full story.
