Understanding Your Creator Coin Allocation

Creator Coins are profile-level tokens on Zora, meaning that each account now has its own coin. As creators post and fans engage, the more your posts are bought, the more active your coin is. It’s a simple and native way to support creators and participate in the value they generate, without intermediaries, sponsors, or subscriptions.

Every Creator Coin has a fixed allocation of 1 billion coins that are distributed as follows:

• 50%: Instantly available to be bought and sold on the open market

• 50%: Reserved for the creator, vested over 5 years

This split ensures the Creator Coin has sufficient liquidity for trading while providing the creator with long-term value aligned with their profile's growth. Each post contributes to the value of the creators' Creator Coin.

The 500 million reserved coins unlock linearly over 5 years. However, they are only payout to the creator when someone trades their Creator Coin.

Here’s how it works:

1. The vested coins accumulate in every block (~2 seconds)

2. When someone buys or sells a Creator Coin, the payout mechanism activates

3. All accumulated unlocked coins are automatically sent to the creators’ wallet

For Creators:

• Guaranteed long-term value from your creative work

• No need to actively manage or claim tokens

• Earnings tied to your coin's ongoing success and community engagement

For Traders:

• Ensures creators remain invested in their coin's long-term success

• Prevents large immediate sell-offs that could destabilize the market

• Aligns creator incentives with community value

If you would like more help, don't hesitate to contact our support team via our help centre or tag us on X (formerly Twitter) and Farcaster.

Legal Disclaimer: Coins are ERC-20 representations of user-created Zora posts and are for entertainment and social engagement purposes only.