Backpack, the crypto wallet and exchange platform, published its token allocation chart on X on February 9, 2026. CEO Armani Ferrante followed up with a detailed post explaining the design philosophy. The core goal is to prevent insider dumping on retail and to tie token value to product growth and regulatory compliance.
Token Allocation Overview: 25% Unlocked at TGE, Rest Vested
The total supply is 1 billion tokens, structured as follows:
- 25% (250 million) unlocked at TGE: 24% (240 million) to users participating in the points program, 1% (10 million) airdropped to MadLads NFT holders.
- 37.5% (375 million) Pre-IPO: triggers unlock upon achieving growth milestones such as entering new regions or launching new products.
- 37.5% (375 million) Post-IPO: held in corporate treasury, fully locked until at least one year after the IPO. This serves as long-term strategic assets for the company.
Notably, no liquid tokens are allocated to founders, team, or VCs. All liquid tokens go exclusively to users.
Three Core Principles: No Insider Dumping, Growth-Linked Tokens
Ferrante outlined three guiding principles in his post.
Insider dumping is impossible
No founder, executive, employee, or VC can profit from tokens before the product reaches "escape velocity." For Backpack, escape velocity is defined as completing an IPO in the United States. The path may be quick or take years, but the team is committed. Over the past year, Backpack grew slowly due to strict regulatory compliance, now serving about 48% of global regions. Future expansion includes banking rails, USD accounts, multi-currency payments, securities products, and other TradFi services.
Liquid tokens belong to users, tied to growth
All liquid tokens are allocated to users and are unlocked by product milestones. Each new market or feature triggers token unlocks, attracting new users and expanding the community. Ferrante likened this to the points program that fueled Seasons 1-4.
Team and investor incentives are fully aligned
The team receives zero direct token allocation. All "team share" sits in the corporate treasury, locked until at least one year post-IPO. The team benefits only indirectly through company equity, while the company holds substantial tokens. Only if the company goes public and clears all regulatory and product hurdles can the team share value. Ferrante summarized: "We either go big, or we go home."