LNGX is the network’s unit of value. The economic stack is described as FIAT Replacement Technology (FReT): a phased allocation schedule paired with the ARCO layer’s ability to adjust effective supply over time. The full specification lives in Lineage: The Living Economy on Zenodo.
The token model separates the unit of value from the policy that governs it. LNGX is what moves on the ledger; FReT is the framework that decides how much of it circulates and on what terms.
LNGX
LNGX is the native asset of the Lineage Layer-1, the token miners earn, holders carry, and applications transact in. Its release into circulation follows the phased allocation schedule below, spanning the project’s genesis and early network years.
FReT
FReT is the economic stack around LNGX. It pairs the phased allocation you see below with the ARCO layer’s ability to adjust effective supply and circulation over time, aiming for low volatility without external collateral or game-theoretic levers.
Allocation is modelled per phase across the early network years (2026-2029). The values below are the Foundation’s working distribution model: the Miners share grows as treasury-funded categories taper, shifting issuance toward the network’s proof-of-work base over time. Figures are in model units, not a final on-chain supply commitment.
Total modelled allocation by phase
Sum of all categories per phase, in model units. Source: Lineage Foundation working distribution model.
Category
2026
2027
2028
2029
Miners
35
45
54
101
Treasury
140
120
80
80
Founders
50
35
35
35
Grants
50
60
50
50
Stakeholders
20
20
20
—
Marketing
20
20
—
—
AI Airdrop Incentives
15
—
—
—
Phase total
330
300
239
266
Model units from the Lineage Foundation working distribution model. The Miners share can be scaled by a market-demand factor; categories phase out as the schedule progresses (shown here as “—”). Final on-chain allocations are governed by protocol policy.
Economic model
Dynamic supply and ARCO
Supply is managed by ARCO
The working model starts from a supply on the order of 300 million tokens, after which effective supply and circulation adapt over time in response to demand and on-chain state, through the same ARCO (adaptive resource-coordinated) loop used elsewhere in the network: sensor, relay, compute, actuator. The allocation table above is expressed in proportional model units; ARCO governs how the live supply moves from that starting point as markets grow.
Designed for low volatility
The design goals are set out in the working paper Peer-to-peer electronic cash revisited (Andrew Kessler, 2025-05-02, Zenodo), which revisits peer-to-peer electronic cash to aim for low volatilitywithout relying on external collateral or game-theoretic levers. Lineage encodes that stance in on-chain policy and ARCO-driven adjustment rather than off-chain promise alone.
Allocation is released across distinct phases. Early phases lean on treasury, grants, founder and community categories to bootstrap the network; later phases shift weight toward miners as proof-of-work issuance becomes the dominant source.
PHASE 01 · 2026
Genesis
Widest category mix: Treasury (140), Founders (50), Grants (50), Stakeholders (20), Marketing (20), AI airdrop incentives (15), and a starting Miners allocation (35). Phase total: 330 model units.
PHASE 02 · 2027
Early network
Miners rise to 45 and Grants to 60 while Founders and Treasury taper (35 / 120). The AI airdrop incentives are complete. Phase total: 300 model units.
PHASE 03 · 2028
Maturing issuance
Treasury contracts to 80 and Marketing winds down; Miners continue climbing to 54 alongside steady Grants and Founders. Phase total: 239 model units.
PHASE 04 · 2029
Miner-led supply
Miners reach 101, the largest single category, as Stakeholder allocation phases out and issuance concentrates on proof-of-work. Phase total: 266 model units.
BEYOND · ARCO-governed
Adaptive steady state
Past the scheduled phases, effective supply and circulation are coordinated by the ARCO layer in response to demand and on-chain state, within protocol policy. There is no fixed forward calendar.
Read the full specification
Lineage: The Living Economy sets out FReT, LNGX, the allocation schedule and the ARCO layer in detail, archived on Zenodo.