Token Economics
Understanding the math behind token pricing, liquidity, and graduation.
Supply Distribution
The DEX reserve is locked until graduation. When the 30,000 FET target is reached, these tokens are paired with the accumulated FET to create a Uniswap/PancakeSwap liquidity pool.
Bonding Curve Mechanics
How It Works
- Price starts low and increases as more tokens are bought
- Selling tokens decreases the price
- FET paid for tokens goes into the contract reserve
- Sellers receive FET from the reserve
Price Formula
The curve ensures prices start low and increase with demand, reflecting demand-based pricing while protecting against manipulation.
Graduation (DEX Listing)
Before Graduation
- Trade on bonding curve only
- Price determined algorithmically
- 200M tokens locked in reserve
- Accumulating FET in contract
After Graduation
- Listed on Uniswap/PancakeSwap
- 200M tokens + 30K FET = LP
- Free market price discovery
- LP tokens burned (locked forever)
Platform Fees
All trading fees go to the protocol treasury (REVENUE_ACCOUNT). There is no creator fee split.
Example Scenarios
Early Buyer (10% sold)
Buys 80M tokens for ~1,500 FET. If graduation occurs, their tokens are worth significantly more on the DEX.
Late Buyer (90% sold)
Buys 80M tokens for ~13,500 FET. Higher entry price, but still benefits from DEX listing and potential market growth.
Graduation Event
At 30,000 FET accumulated: 200M reserved tokens + 30,000 FET create a DEX liquidity pool. LP tokens are burned, making liquidity permanent.