Solana-based cryptocurrency trading platform Backpack Exchange launched its native token BP on Monday, detailing a token generation event (TGE) that includes mechanisms for user distribution, locking and pegging to company equity.
At the time of issuance, 25% of the total supply of 1 billion tokens (approximately 250 million BP) will be distributed mainly through airdrops to existing users. The majority is allocated to participants of the Backpack points program, with a small portion reserved for holders of the “Mad Lads NFT Series.”
The company said it did not allocate any tokens to founders, team members or investors at launch, unlike many exchange token launches. This structure gives a larger share of the initial allocation to users rather than insiders.
The remaining supply will be released through a multi-stage unlocking schedule tied to the company’s growth and potential public listing plans. Approximately 37.5% of the tokens will be unlocked over time based on operational milestones such as market expansion or product launches, while another 37.5% will remain locked in company vaults until after a potential IPO.
Backpack also said that long-term stakeholders may be able to convert BP into equity in the company, representing a portion of the company’s ownership. This mechanism ties the token to the company’s broader capital markets initiatives, rather than limiting its role to trading incentives or governance.
“Backpack, founded by former FTX and Alameda Research employees, faced early scrutiny following the collapse of FTX in 2022. The company later acquired the defunct exchange’s European arm, renaming it Backpack EU as part of a push into regulated markets.
Read more: Backpack acquires FTX EU to launch regulated sustainable exchange in Europe