OP (OP) Tokenomics
OP (OP) Tokenomics & Price Analysis
Explore key tokenomics and price data for OP (OP), including market cap, supply details, FDV, and price history. Understand the token's current value and market position at a glance.
OP (OP) Information
Ethereum’s layer-two scaling solution Optimism introduced its new governance token OP for the Token House – one of the two hubs constituting the protocol’s new governance system, Optimism Collective. Early users of the network will be granted the opportunity to receive OP airdrops in Q2, 2022, which accounts for 5% of the asset’s total supply.
In-Depth Token Structure of OP (OP)
Dive deeper into how OP tokens are issued, allocated, and unlocked. This section highlights key aspects of the token's economic structure: utility, incentives, and vesting.
Overview
Optimism (OP) is the native token of the Optimism Superchain, an ecosystem of chains built on the OP Stack. The OP token is central to governance, incentives, and ecosystem growth, with a design that emphasizes decentralization, public goods funding, and iterative governance.
Issuance Mechanism
- Initial Supply: OP began circulating on May 31, 2022, with a total supply of approximately 4.29 billion tokens.
- Minting: The OP contract includes a “mint” function, allowing the contract’s owner (the “MintManager”) to mint additional tokens at any time. However, the inflation rate was set to 2% initially and was reduced to 0% in May 2023, meaning no new tokens are currently being issued via inflation.
- Control: The project team, via multi-signature wallets (Security Council and Optimism Multi-sig), retains control over minting and network upgrades.
Allocation Mechanism
The OP token supply is distributed across several key categories, each with a specific purpose:
| Allocation Category | Amount (OP) | % of Total Supply | Description |
|---|---|---|---|
| Ecosystem Fund | ~1.07 billion | 25.00% | Stimulates ecosystem development; subdivided into Governance, Partner, and Seed Funds. |
| - Governance Fund | ~231.93 million | 5.40% | Distributed to projects via ongoing incentive programs. |
| - Partner Fund | ~231.93 million | 5.40% | Strategic distributions by the Optimism Foundation. |
| - Seed Fund | ~231.93 million | 5.40% | Funds early-stage projects. |
| Retroactive Public Goods Funding | ~858.99 million | 20.00% | Distributed in rounds by the Citizens’ House to contributors to the ecosystem. |
| Airdrops | ~816.04 million | 19.00% | Distributed to users; eligibility determined by the Foundation. |
| Reserves (Unallocated) | ~377.96 million | 8.80% | Reserved for future programs or private sales. |
| Contributors | (not specified) | (locked/vested) | Allocated to contributors, with a 1-year lock and linear vesting thereafter. |
Usage and Incentive Mechanism
- Governance: OP is used for on-chain voting in the Token House, which governs protocol upgrades, fund allocations, and other key decisions. Tokenholders can delegate their OP to themselves or others for voting.
- Ecosystem Incentives: OP is distributed to projects and users through the Governance Fund, airdrops, and RetroPGF. These mechanisms incentivize ecosystem growth, public goods, and user participation.
- Feedback Loop: Demand for OP blockspace generates sequencer revenue, which is then distributed as RetroPGF rewards, creating a virtuous cycle of reinvestment and growth.
Locking Mechanism
- Contributor Allocations: Locked for one year after initial circulation (May 31, 2022), followed by linear vesting.
- Governance and Incentive Allocations: Distributed on a seasonal schedule, with voting cycles and reflection periods determining the pace and recipients of distributions.
- Airdrops and RetroPGF: Distributed in rounds, with eligibility and timing determined by governance and the Foundation.
Unlocking Schedule
- General Pattern: Most major allocations (contributors, airdrops, RetroPGF) are subject to vesting and unlocking schedules, with the majority of tokens unlocked within the first two years, followed by a slower release.
- Contributor Vesting: 1-year lock, then linear vesting.
- Airdrops: As of December 2024, ~549.43 million OP (~12.8% of total supply) remain to be distributed.
- RetroPGF: As of December 2024, ~808.99 million OP (~18.84% of total supply) remain to be distributed.
Governance and Control
- Bicameral System: Governance is split between the Token House (OP holders) and Citizens’ House (public goods funding).
- Seasonal Governance: OP is disbursed in seasons, each with multiple voting cycles and a reflection period for feedback and adjustments.
- Upgrade Keys: Controlled by a multi-sig structure (Security Council and Optimism Multi-sig).
Summary Table: OP Token Allocation & Unlocking
| Category | % of Supply | Locking/Vesting Details | Unlocking Status (as of Dec 2024) |
|---|---|---|---|
| Ecosystem Fund | 25% | Seasonal, via governance | Ongoing |
| RetroPGF | 20% | Distributed in rounds | ~18.84% remains to be distributed |
| Airdrops | 19% | Distributed in rounds | ~12.8% remains to be distributed |
| Reserves | 8.8% | Unallocated, for future use | Ongoing |
| Contributors | (N/A) | 1-year lock, then linear vesting | Ongoing |
Key Takeaways
- OP’s token economics are designed to align incentives for users, builders, and public goods contributors.
- The issuance and allocation mechanisms are governed by a transparent, iterative, and community-driven process.
- Unlocking and vesting schedules are structured to ensure gradual distribution and long-term ecosystem sustainability.
- Governance is robust, with a bicameral system and multi-sig controls to balance decentralization and security.
This structure ensures that OP remains a central pillar for governance, incentives, and sustainable growth within the Optimism Superchain ecosystem.
OP (OP) Tokenomics: Key Metrics Explained and Use Cases
Understanding the tokenomics of OP (OP) is essential for analyzing its long-term value, sustainability, and potential.
Key Metrics and How They Are Calculated:
Total Supply:
The maximum number of OP tokens that have been or will ever be created.
Circulating Supply:
The number of tokens currently available on the market and in public hands.
Max Supply:
The hard cap on how many OP tokens can exist in total.
FDV (Fully Diluted Valuation):
Calculated as current price × max supply, giving a projection of total market cap if all tokens are in circulation.
Inflation Rate:
Reflects how fast new tokens are introduced, affecting scarcity and long-term price movement.
Why Do These Metrics Matter for Traders?
High circulating supply = greater liquidity.
Limited max supply + low inflation = potential for long-term price appreciation.
Transparent token distribution = better trust in the project and lower risk of centralized control.
High FDV with low current market cap = possible overvaluation signals.
Now that you understand OP's tokenomics, explore OP token's live price!
How to Buy OP
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OP (OP) Price History
Analyzing the price history of OP helps users understand past market movements, key support/resistance levels, and volatility patterns. Whether you are tracking all-time highs or identifying trends, historical data is a crucial part of price prediction and technical analysis.
OP Price Prediction
Want to know where OP might be heading? Our OP price prediction page combines market sentiment, historical trends, and technical indicators to provide a forward-looking view.
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Disclaimer
Tokenomics data on this page is from third-party sources. MEXC does not guarantee its accuracy. Please conduct thorough research before investing.
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Amount
1 OP = 0.4432 USD