> For the complete documentation index, see [llms.txt](https://matrix-layer-protocol.gitbook.io/matrix-layer-protocol-1/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://matrix-layer-protocol.gitbook.io/matrix-layer-protocol-1/viii.-token-economic-model-and-mechanism/1.-token-allocation.md).

# 1. Token Allocation

**1. Community and Ecosystem Growth: 3.75 billion tokens (75%)**

* Release Strategy:
  * Year 1: Release 40% (1500 million tokens)
  * Year 2: Release 30% (1125 million tokens)
  * Year 3: Release 15% (562.5 million tokens)
  * Year 4: Release 10% (375 million tokens)
  * Year 5: Release 5% (187.5 million tokens)
* Allocation Details:
  * Basic Mining Pool (POW): 25%
  * Accelerated Mining Pool (POS): 25%
  * Promotion Incentive Pool: 25%

**2. Operations and Marketing: 250 million tokens (5%)**

* Release Strategy:
  * 10% released at Token Generation Event (TGE)
  * The remaining 90% will be unlocked monthly over the next 36 months

**3. Early Investors and Institutions: 250 million tokens (5%)**

* Lock-up Strategy:
  * 10% released at TGE
  * The remaining 90% will be unlocked monthly over the next 24 months

**4. Team and Advisors: 250 million tokens (5%)**

* Lock-up Strategy:
  * No tokens released at TGE, and they will be locked for one year
  * Tokens will be unlocked monthly over the next 24 months

**5. Institutional Round: 500 million tokens (10%)**

* Lock-up Strategy:
  * 10% released at TGE
  * The remaining 90% will be unlocked monthly over the next 24 months

<figure><img src="https://3597485716-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FzGEA4ys6f7XbyUDqMCru%2Fuploads%2FtheZeVdVP8aIb4iHPgGp%2FMLP%20pie%20white%20(EN).png?alt=media&amp;token=cdffb830-be08-42bd-aa29-79b6061566e3" alt=""><figcaption></figcaption></figure>