Intellectual property (IP)-focused on-chain platforms Story Protocol and OpenLedger on Thursday, January 29, announced a new standard aimed at letting artificial intelligence (AI) systems legally use creative works and reward the people who own them.
Under this partnership, IP registered with Story Protocol can be licensed for AI training and AI-generated output. Meanwhile, OpenLedger, an AI-native blockchain, enforces these licenses within AI systems and sends payments to rights holders.
The companies are also building a shared on-chain standard to record who owns the work, how it is used, and who receives compensation, according to a press release seen by The Defiant.
Increased usage and increased litigation
The announcement comes as AI-related lawsuits continue to increase, with many AI-related lawsuits expected to center around intellectual property by 2025. That’s because when creative works are used by AI systems, it becomes difficult to track how their works are used and to ensure that creators are compensated, leaving many rights holders with little recourse.
These challenges are increasing as the global IP market itself expands. According to the World Intellectual Property Organization’s 2025 Global Innovation Index, the market that includes digital rights and real-world data is estimated to be worth more than $80 trillion.
“AI cannot scale to account for scraped data or legal ambiguity,” said an OpenLedger team representative. “If intelligence is becoming economic infrastructure, intellectual property must be respected, traceable, and monetized by default. This partnership brings enforceable rights directly to the AI execution layer.”
The companies also noted that their systems are designed to ensure that AI models only use materials that they have been given access to, and that they can check usage after the fact. “This represents a shift from ‘train now, litigate later’ to ‘only use what you can prove is authorized for use,'” the release states.
According to CoinGecko, Story Protocol’s native token IP has fallen by about 9% in the past 24 hours, but still posted gains over the past month. OpenLedger’s native token OPEN also fell about 7% on the day.