Introducing Aleo Credits

Aleo Credits allows users and developers to secure verification and data services on the decentralized network and compensate service providers for their work to benefit the entire Aleo open-source ecosystem.


How the Aleo Credit works

  • Granting access

    Aleo Credits are used to access blockspace and computational resources on the network, with users paying Credits to submit transactions and have them processed.

  • Creating incentives

    Provers and validators are rewarded in Aleo Credits by the protocol for securing it, incentivizing a robust decentralized network.

  • Enabling staking

    Aleo Credits can be staked with validators to produce blocks and provide network security, with stakers receiving a pro-rata share of network rewards in return.

  • Powering governance

    After mainnet launch, Aleo Credit holders may participate in decentralized governance, voting on upgrades and changes to the protocol.

How Aleo Credits are distributed

Initial distribution
(approximate %)
Aleo Credit Graph
  • Foundation 6%
  • Strategic Partners 8%
  • Company 10%
  • Employees & Contributors 16%
  • Public Distribution 25%
  • Early Backers 35%

The initial supply at launch will be 1.5 billion Aleo Credits. These are allocated to early backers (35%), public distribution (25%), employees & contributors (16%), company (10%), strategic partners (8%), and foundation (6%).

  • Rewards

    After mainnet launch, the Aleo Network will issue Aleo Credits as rewards to provers for solving puzzles, and validators for securing the network and participating in consensus. The Coinbase rewards for provers/validators decrease linearly over about 10 years.

  • Block rewards

    Validators also earn a constant block reward (currently set at 23 Credits per block) in perpetuity as an incentive to keep validating.

  • Circulating supply

    The total circulating supply of Aleo Credits grows to 2.6 billion over 10 years, and doubles in about 21 years, as rewards are issued.

  • Inflation

    The inflation rate decreases over time from around 12% in year 1, to 2% in year 10, approaching 0% over time.

Over 10 years, more than 50% of Aleo Credits will be distributed to the public.

Aleo Credit Chart