diff --git a/LICENSE b/LICENSE
new file mode 100644
index 0000000000..a893c0c3d4
--- /dev/null
+++ b/LICENSE
@@ -0,0 +1,21 @@
+Copyright (c) 2013 Guangcong Luo and other contributors
+http://pokemonshowdown.com/
+
+Permission is hereby granted, free of charge, to any person obtaining
+a copy of this software and associated documentation files (the
+"Software"), to deal in the Software without restriction, including
+without limitation the rights to use, copy, modify, merge, publish,
+distribute, sublicense, and/or sell copies of the Software, and to
+permit persons to whom the Software is furnished to do so, subject to
+the following conditions:
+
+The above copyright notice and this permission notice shall be
+included in all copies or substantial portions of the Software.
+
+THE SOFTWARE IS PROVIDED "AS IS", WITHOUT WARRANTY OF ANY KIND,
+EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THE WARRANTIES OF
+MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE AND
+NONINFRINGEMENT. IN NO EVENT SHALL THE AUTHORS OR COPYRIGHT HOLDERS BE
+LIABLE FOR ANY CLAIM, DAMAGES OR OTHER LIABILITY, WHETHER IN AN ACTION
+OF CONTRACT, TORT OR OTHERWISE, ARISING FROM, OUT OF OR IN CONNECTION
+WITH THE SOFTWARE OR THE USE OR OTHER DEALINGS IN THE SOFTWARE.
diff --git a/README.md b/README.md
index c1eac3483b..7f088cded8 100644
--- a/README.md
+++ b/README.md
@@ -46,6 +46,13 @@ IE8 support can technically be added without too much difficulty, but it doesn't
 
 As for older browsers (Firefox 3.6), I won't go out of my way to support them, but if there's a simple fix, you can suggest it to me and I'll implement it.
 
+License
+------------------------------------------------------------------------
+
+Pokemon Showdown's server is distributed under the terms of the [MIT License][1].
+
+  [1]: https://github.com/Zarel/Pokemon-Showdown/blob/master/LICENSE
+
 Credits
 ------------------------------------------------------------------------