Swarm tokenomics
The role of the BZZ token
BZZ is how Swarm prices storage, rewards honest nodes, and keeps the system in balance — automatically, without any central authority. Uploaders pay in BZZ to store data. Node operators earn BZZ for storing it honestly.
BZZ prices storage, rewards honest nodes, and keeps the system in balance without any central authority.
At a glance: BZZ
The means of payment.
Total supply
63,149,437 BZZ
Fixed — cannot increase
ERC-20 native to Ethereum
Circulating
~52.6M BZZ
Remainder staked or locked
Pay for storage
Uploaders buy postage stamps in BZZ to store data on the network for a defined duration.
Storage price
— BZZ/GB/month
Set by price oracle
Earn from storage
Node operators stake BZZ and earn from the redistribution game for storing data honestly.
Redistribution pot
— BZZ
Current reward pool
Settle bandwidth
Nodes settle peer-to-peer bandwidth balances in BZZ through the SWAP accounting protocol.
Bandwidth price
— BZZ/GB
Set by price oracle· unavailable
How it works
Users pay for availability
When someone stores data on Swarm, they pay in BZZ by purchasing postage stamps. That payment goes into a shared reward pool. Every ~12 minutes, the network runs a round: one neighborhood is selected, nodes submit cryptographic proofs of the data they're storing, and one honest node wins a share of the pool — chosen at random, weighted by stake density. You can't fake the proof. That means you can't win without actually storing the data — which is precisely the point.
Stamp prices aren't set by anyone. The price oracle reads network utilization on-chain and adjusts automatically — cheaper when the network has spare capacity, higher when it's near full. The whole system runs on smart contracts. There's no company deciding what storage should cost.
Storage on Swarm is rented continuously. Postage stamps have a time-to-live set by the uploader. When a batch runs out, the data it covers can no longer be proven in the redistribution game — nodes have no incentive to keep it, and it eventually gets garbage collected if the stamp is not topped up again.
Uploaders who want their data to persist need to top up their stamp batches before expiry. This is what makes BZZ demand durable: it's tied to the volume of data the network is actively storing, not just to new upload activity. Every gigabyte that stays on Swarm requires ongoing BZZ spending.
Continuous top-up is automated by subscription services, which guarantee to keep your data alive for extra cost.
The Swarm value loop
Storage is rented, not bought. Stamp batches have a time-to-live. Uploaders top up to keep data alive — or let it expire. As long as data persists on Swarm, BZZ flows into the reward pool.
Incentive mechanics
Two reward systems
Storage incentives
Redistribution game — how storage rewards are distributed
Uploaders pay for storage by purchasing postage stamp batches in BZZ. That payment accumulates in a reward pool. Every ~12 minutes, the redistribution game runs: one neighborhood is selected, nodes submit cryptographic proofs of the data they're storing, and one honest node wins the reward pool — selected at random, weighted by stake density.
Stamp prices are adjusted automatically by the price oracle — rising when demand is high, falling when the network has spare capacity.
Smart contracts
- Postage stamp
Handles postage stamp purchases.
- Redistribution game
Manages rounds, proofs, and payouts.
- Price oracle
Adjusts postage prices by supply signal.
Bandwidth incentives
SWAP — peer-to-peer accounting
Every time a node relays data for a peer, it earns credit through the Swarm Accounting Protocol (SWAP). Peers track the relative flow of data between each other — if you consistently carry more than you consume, the balance tips in your favor.
When the debt crosses a threshold, the peer settles it by issuing a BZZ cheque drawn on their chequebook — a smart contract that holds collateral and enforces payment. Cheques are cashed periodically, settling outstanding bandwidth balances on-chain.
Smart contract
- Chequebook
Holds collateral, settles bandwidth cheques.
Supply mechanics
Fixed supply, usage-driven demand
Most token networks create ongoing sell pressure by minting new tokens as block rewards — supply grows regardless of whether usage does. BZZ doesn't work that way. The supply is fixed. There's no inflation schedule, no protocol emissions, no team reserve unlocking. The only thing that creates demand for BZZ is people actually using Swarm to store data.
That makes the economics unusually direct: BZZ demand tracks storage demand. If the network grows, more BZZ is needed to purchase stamps and stake nodes. If it doesn't, it doesn't. There's no emission-based floor — just usage.
BZZ originates on Ethereum — not bridged or wrapped. It carries no bridge risk and sits inside the deepest DeFi liquidity pool in crypto. The supply was locked permanently in May 2024 when the bonding curve — a smart contract that had maintained BZZ liquidity and price discovery by adjusting supply against demand — was shut down by community vote. 87% voted in favor. The mechanism was deactivated, minting became impossible, and the supply was fixed at 63,149,437 BZZ.
- Supply
- Fixed cap. No further BZZ can be issued. Supply is governed by the community.
- Demand
- Continuous top-ups. Stamps expire. Uploaders top up their batches to keep data alive. Demand scales with the volume of data on the network, not just new uploads.
- Stake
- Collateral locked. Node operators lock BZZ as stake, removing it from circulating supply. Higher participation = more tokens locked.
BZZ in practice
What can you do with BZZ?
Store data
Buy postage stamps
Purchase a postage stamp batch to pay for storage on the network for a defined duration. Swarm Desktop or Nook is the easiest way to get started — install it, fund your wallet, and you're storing on Swarm in minutes. Or build directly against the Bee API.
Run a node
Stake and earn
Stake a minimum of 10 BZZ, keep your node online and synced, and you're eligible for redistribution rewards. The full setup guide — including honest economics — is on the Run a Node page.
Get BZZ
How to get BZZ
BZZ is available on both centralized and decentralized exchanges. Current listings are maintained on CoinGecko and CoinMarketCap under their markets tab — these are the most reliable source for up-to-date exchange availability.
BZZ is a utility token — it exists to pay for and reward storage on Swarm, not as an investment or speculative instrument. Use of any exchange platform involves risk. See the Field Notes below for more on the risks specific to holding and using BZZ.
Decentralized exchanges
DEXs
Trade directly from your wallet — no account required. Make sure you're connected to the correct network in your browser extension wallet before trading. DEX listings and liquidity change over time; check CoinGecko or CoinMarketCap for current options.
Centralized exchanges
CEXs
Available on a number of centralized exchanges. An updated list can be found on CoinGecko and CoinMarketCap under their markets tab. If you're acquiring BZZ to use on Swarm, check which network version is supported before transacting.
Swarm field notes
Going deeper
What determines the storage price?
The price oracle smart contract reads network utilization on-chain and adjusts postage stamp prices automatically — up when the network is near capacity, down when it has room. No human sets the price. The mechanism is under active research and may evolve.
What happens when postage stamps expire?
A stamp batch has a time-to-live that depletes continuously, as if storage rent were being deducted at regular intervals. When the balance runs out, the chunks it covered can no longer be used as proof in the redistribution game. Nodes have no incentive to keep them — they get garbage collected.
Uploaders who want their data to persist need to top up their batch before it expires. This is what makes BZZ demand durable: it tracks the volume of data the network is actively storing, not just new upload activity.
What are the risks of holding or using BZZ?
BZZ is a utility token — it exists to pay for storage and reward node operators, not as a financial instrument. It should not be purchased for financial gain or speculation.
Earnings from running a node are denominated in BZZ, not fiat — a good month in BZZ terms can still be a bad month in real terms if the price drops. The incentive system is under active development; protocol parameters may change.
Where to go next
Tokenomics is one part of the picture
Run a NodeSee it in practice
The incentives play out differently in practice. Hardware, honest economics, and a reference setup from someone running nodes.
CollaborationsSee where demand comes from
Fellows, grantees and ecosystem partners building on Swarm - the projects creating the storage demand behind the reward pool.
Research HubSee the open questions
Active research on incentive redesign, price dynamics and protocol evolution, including the open questions flagged here.
Inside SwarmSee the architecture behind it
How chunk storage, neighborhood routing and the incentive layer fit together - the architecture behind these economics.