Story Protocol and OpenLedger announced a groundbreaking new standard on Thursday, Jan. 29, aimed at allowing artificial intelligence systems to legally use creative work and compensate the rightful owners. The collaboration will enable IP registered on Story Protocol to be licensed for AI training and AI-generated outputs. OpenLedger, an AI-native blockchain, will enforce these licenses within AI systems and ensure that payments are made to the rights holders.
Furthermore, the two companies are developing a shared onchain standard to record ownership of the work, permitted usage, and payment distribution, as stated in a press release obtained by The Defiant.
Growing Use & Growing Lawsuits
This announcement comes amidst a rising number of lawsuits related to AI, particularly in the realm of intellectual property. With the increasing utilization of creative work by AI systems, it has become challenging to monitor usage and ensure fair compensation for creators, leaving many rights holders with limited options for recourse.
These issues are compounded by the expansion of the global IP market, which encompasses digital rights and real-world data and is estimated to be valued at over $80 trillion, according to the World Intellectual Property Organization’s 2025 Global Innovation Index.
“AI cannot operate effectively on questionable data and legal uncertainties,” stated a spokesperson from OpenLedger. “If intelligence is evolving into economic infrastructure, then intellectual property must be respected, traceable, and monetized by default. This partnership integrates enforceable rights directly into the AI execution layer.”
The companies emphasize that their system is designed to ensure that AI models only utilize material for which they are licensed, with post-usage verification capabilities. The release highlights a shift from a mindset of ‘train now, litigate later’ to ‘use only what can be proven as permissible.’
According to CoinGecko, Story Protocol’s native token IP experienced a 9% decrease in value over the last 24 hours but has shown gains over the past month. Similarly, OpenLedger’s native token OPEN saw a 7% decline in value on the day.