The Bonding Curve

Until a token graduates, it trades on a bonding curve: an automated market built into the protocol. No order book, no market makers, and no liquidity needed from the creator — the protocol itself is always the counterparty.

How it works

• The price is set automatically. Buys push the price up, sells push it down, along a fixed path. There is no other way to move a token’s price — no repricing, no admin levers.
• Every token uses the exact same curve. Identical parameters, hardcoded in the protocol. No launch can have secretly different math or a secretly better deal for insiders.
• Early buyers get lower prices. That’s the incentive to discover tokens early — and it’s the same advantage for everyone, on every token.
• You can always trade. The curve is always liquid in both directions; there is no “no liquidity” state before graduation.

Your expected output, price impact, and the post-trade price are all shown in the app before you confirm any trade.

Fees on the curve

While a token is on its bonding curve, every trade pays a 1% platform fee to the protocol, taken from the ETH side of the trade:

• On a buy, 1% of the ETH you send; the other 99% goes into the curve and buys your tokens.
• On a sell, 1% of the ETH you receive; you keep the other 99%.

This is the only fee during the bonding-curve phase — token amounts are never skimmed, and there are no hidden spreads or per-token differences. The fee does not count toward the token’s ≈5 ETH graduation target; only ETH that actually enters the curve does. After graduation the platform fee no longer applies — trades pay the DEX pool fee instead (see Fees).

Where the ETH goes

The ETH paid into a curve is held by the protocol contract, not the creator. It can only leave two ways: back out to sellers, or — once the token has raised ≈5 ETH — into the token’s permanently locked DEX liquidity at graduation. The creator can never withdraw it.

Why a bonding curve?

• Fair launch: no presale, no allocations — trading opens to everyone at the same moment, at the same price.
• Guaranteed market: every token is tradable from its very first second.
• Rug-resistant: the funds backing the market are protocol-held from day one.