TechFlow News, February 24: According to Decrypt, cryptocurrency exchange Backpack plans to allow holders of its upcoming token to earn company equity through staking. As stated by Backpack CEO Armani Ferrante on social media, users who stake the token for at least one year will be able to convert it into company equity at a fixed ratio. The company has already reserved 20% of its equity for this initiative.
Ferrante said this move aims to improve upon existing models, as many projects have failed to deliver on their promises to support tokens whose value is purely utility-based. The exchange has not yet announced the token launch date but has already required users to verify their personal information to determine eligibility for distribution.
