Story Protocol Co-Founder Quits Amid $17 Fees, Eyes AI
Story Protocol co-founder Jason Zhao is stepping down after 3.5 years to focus on his AI startup Poseidon but will remain a strategic adviser. The blockchain startup, launched in 2021 with over $130 million in funding from investors including a16z, aims to make intellectual property programmable. However, Story Protocol’s network generates only $17 in daily fees, highlighting weak on-chain activity and low adoption. Zhao’s exit clears the path for CEO SY Lee, with Andrea promoted to chief product officer and Sandeep to chief AI officer. Continued backing from major investors offers support, but the new leadership must boost on-chain usage to increase fee revenue. The token IP rose 2% to $5.80 on the news.
Neutral
While Story Protocol’s IP token saw a 2% price increase on news of co-founder Jason Zhao’s departure and advisory support, the network’s low $17 daily fees underline weak on-chain activity. The leadership change and AI pivot inject short-term optimism, but limited revenue and adoption cap long-term growth prospects. Traders should monitor whether new CEO SY Lee’s team can drive meaningful on-chain usage and fee revenue before betting on sustained upside. Hence, the overall market impact is neutral.