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Token Lifecycle

Every token launched on POTLAUNCH follows a predictable lifecycle from creation through graduation to free market trading. Understanding this lifecycle helps creators optimize their launches and participants make informed decisions.

Lifecycle Overview

Creation → Bonding Curve → Graduation → DEX Trading → Multi-Chain

Each phase has specific characteristics, requirements, and outcomes that affect token value and accessibility.

Phase 1: Creation & Initialization

Pre-Launch Preparation

Before launching, creators prepare the essential components:

Token Design:

  • Token name and symbol
  • Total supply allocation
  • Visual identity (logo, colors)
  • Brand narrative and messaging

Launch Strategy:

  • Target market cap
  • Pricing curve selection
  • Initial price point
  • Graduation criteria

Community Building:

  • Social media presence
  • Community channels (Discord, Telegram)
  • Marketing materials
  • Roadmap and vision

Launch Transaction

Token Mint Creation

// Simplified flow const tokenMint = await createTokenMint({ name: "My Token", symbol: "MTK", decimals: 9, supply: 1_000_000_000, mintAuthority: null, // Permanently revoked freezeAuthority: null, // Permanently revoked });

Metadata Upload

// Upload to decentralized storage const metadata = await uploadMetadata({ name: tokenMint.name, symbol: tokenMint.symbol, description: "Token description", image: "ipfs://...", properties: { category: "Utility", tags: ["DeFi", "Launch"], }, });

Bonding Curve Initialization

// Create bonding curve contract const bondingCurve = await initializeBondingCurve({ tokenMint: tokenMint.address, curveType: CurveType.EXPONENTIAL, initialPrice: 0.001, // SOL targetMarketCap: 100_000, // SOL fees: { buy: 100, // 1% sell: 100, // 1% }, });

Initial Liquidity Provision

// Creator provides initial liquidity await provideLiquidity({ curve: bondingCurve.address, solAmount: 10, // Initial 10 SOL });

Post-Launch State:

  • ✅ Token minted and verified
  • ✅ Bonding curve active
  • ✅ Trading enabled
  • ✅ Metadata published
  • ⏳ Waiting for first traders

Phase 2: Bonding Curve Trading

Initial Trading Phase

Characteristics:

  • Price determined by bonding curve
  • Continuous liquidity available
  • No order books required
  • Instant trade execution

Price Discovery:

// Price increases as supply is purchased function calculatePrice(soldSupply: number): number { // Example: Exponential curve const BASE_PRICE = 0.001; const GROWTH_RATE = 1.5; return BASE_PRICE * Math.pow(1 + soldSupply / 1000000, GROWTH_RATE); }

Example Price Progression:

Supply SoldPrice (SOL)Market Cap (SOL)
0%0.0011,000
10%0.0055,000
25%0.01515,000
50%0.05050,000
75%0.150150,000
90%0.500500,000

Growth Metrics

Key Performance Indicators:

interface GrowthMetrics { // Trading Activity tradingVolume24h: number; numberOfTrades: number; uniqueTraders: number; buyVolume: number; sellVolume: number; // Community Growth holderCount: number; averageHoldingSize: number; whaleConcentration: number; // % held by top 10 // Price Performance priceChange24h: number; allTimeHigh: number; allTimeLow: number; volatilityIndex: number; // Progression marketCapCurrent: number; graduationProgress: number; // 0-100% estimatedTimeToGraduation: number; // hours }

Trading Dynamics

Buy Pressure:

  • Early buyers get lower prices
  • Price increases with each purchase
  • Creates upward momentum
  • Rewards early supporters

Sell Pressure:

  • Sellers get current bonding curve price
  • Price decreases with each sale
  • Natural profit-taking
  • Market self-regulation

Reserve Accumulation:

// Reserve grows with each trade interface ReserveState { totalReserve: number; // Total SOL in reserve fromBuys: number; // SOL from buy trades fromFees: number; // SOL from trading fees forDEX: number; // SOL allocated for DEX migration forPlatform: number; // Platform fee accumulation }

Community Milestones

Typical Milestones:

First 100 Holders

  • Community foundation established
  • Initial price discovery complete
  • Social channels active
  • Basic liquidity present

$10K Market Cap

  • Sustainable trading volume
  • Community growth accelerating
  • External attention starting
  • First DEX listings discussed

$50K Market Cap

  • Significant holder base
  • Daily trading volume healthy
  • Graduation approaching
  • Marketing campaigns launching

$100K Market Cap (Graduation)

  • Graduation criteria met
  • Community fully established
  • Major holder distribution
  • Ready for DEX migration

Phase 3: Graduation

Graduation Criteria

Requirements:

interface GraduationRequirements { // Market Metrics minimumMarketCap: 100_000, // SOL minimumVolume: 10_000, // SOL total volume minimumTrades: 100, // number of trades // Time Metrics minimumAge: 86400, // 24 hours (seconds) // Community Metrics minimumHolders: 50, // unique holders maximumWhaleConcentration: 30, // % max for top holder // Liquidity Metrics minimumLiquidity: 10, // SOL in reserve }

Graduation Process

Eligibility Check

async function checkGraduationEligibility(): Promise<GraduationStatus> { const metrics = await getTokenMetrics(); const requirements = GRADUATION_REQUIREMENTS; return { eligible: ( metrics.marketCap >= requirements.minimumMarketCap && metrics.volume >= requirements.minimumVolume && metrics.trades >= requirements.minimumTrades && metrics.age >= requirements.minimumAge && metrics.holders >= requirements.minimumHolders ), progress: calculateProgress(metrics, requirements), missingRequirements: identifyMissingRequirements(metrics, requirements), }; }

Liquidity Migration

// Extract liquidity from bonding curve async function migrateLiquidity(): Promise<MigrationResult> { // 1. Disable bonding curve trading await disableBondingCurve(); // 2. Calculate DEX allocation const reserve = await getReserveBalance(); const dexAllocation = { sol: reserve * 0.9, // 90% to DEX tokens: calculateTokenAmount(reserve * 0.9), }; // 3. Create DEX pool const pool = await createRaydiumPool(dexAllocation); // 4. Burn LP tokens (permanent lock) await burnLPTokens(pool.lpMint); return { poolAddress: pool.address, lpTokensBurned: pool.lpSupply, liquidityLocked: true, }; }

Post-Graduation Setup

// Finalize graduation async function finalizeGraduation(): Promise<void> { // 1. Update token metadata await updateTokenMetadata({ graduated: true, graduationDate: Date.now(), dexPool: poolAddress, bondingCurveDisabled: true, }); // 2. Notify community await sendGraduationNotifications(); // 3. Update listings await updateTokenListings(); // 4. Enable cross-chain bridge await enableBridging(); }

Post-Graduation State:

  • ✅ Trading on Raydium/Meteora
  • ✅ Liquidity permanently locked
  • ✅ Free market price discovery
  • ✅ Cross-chain bridging enabled
  • ✅ Community fully autonomous

Phase 4: DEX Trading

Free Market Trading

Characteristics:

  • Order book-based trading
  • Market-determined prices
  • Increased liquidity
  • Professional trading tools

DEX Features:

  • Limit orders
  • Stop losses
  • Advanced charts
  • API access
  • Trading bots

Liquidity Management

Permanent Liquidity Lock:

interface LiquidityLock { poolAddress: PublicKey; lpTokensMinted: number; lpTokensBurned: number; // All LP tokens burned liquidityValue: { sol: number, tokens: number, }; lockType: 'PERMANENT'; // Cannot be unlocked lockDate: Date; }

Benefits:

  • No rug pull risk
  • Permanent liquidity
  • Price stability
  • Community confidence

Price Dynamics

Market Forces:

  1. Supply & Demand

    • Buy pressure increases price
    • Sell pressure decreases price
    • Natural market equilibrium
  2. External Factors

    • Market sentiment
    • Broader crypto trends
    • Platform developments
    • Partnership announcements
  3. Trading Volume

    • Higher volume = more liquidity
    • Tighter spreads
    • Better price discovery

Phase 5: Multi-Chain Expansion

Cross-Chain Bridging

Supported Networks:

interface BridgeConfiguration { sourceChain: 'SOLANA'; supportedDestinations: [ 'NEAR', 'ETHEREUM', // Coming soon 'BASE', // Coming soon 'POLYGON', // Coming soon ]; bridgeFee: 0.001; // 0.1% estimatedTime: 30; // seconds }

Bridge Process

Lock Tokens on Source Chain

// User locks tokens on Solana const lockTx = await bridgeContract.lockTokens({ amount: 1000, destinationChain: 'NEAR', recipient: nearAddress, });

Mint Wrapped Tokens

// Wrapped tokens minted on destination const wrappedToken = await destChain.mintWrapped({ sourceChain: 'SOLANA', sourceToken: tokenMint, amount: 1000, recipient: nearAddress, });

Cross-Chain Trading

// Trade on destination chain DEXs await destChainDEX.trade({ tokenIn: wrappedToken, tokenOut: destChainUSDC, amount: 500, });

Bridge Back (Optional)

// Burn wrapped tokens and unlock on Solana const unlockTx = await bridgeContract.unlockTokens({ wrappedAmount: 500, destinationChain: 'SOLANA', recipient: solanaAddress, });

Multi-Chain Benefits

For Holders:

  • Access to multiple DEXs
  • Increased liquidity pools
  • More trading pairs
  • Broader market access

For Projects:

  • Expanded user base
  • Multiple ecosystems
  • Increased visibility
  • Greater adoption potential

Lifecycle Management Tools

For Creators

Dashboard Features:

interface CreatorDashboard { // Launch Status currentPhase: LifecyclePhase; timeInPhase: number; progressToNextPhase: number; // Metrics holders: number; volume: number; marketCap: number; // Tools updateMetadata(): void; announceUpdate(): void; viewAnalytics(): AnalyticsData; manageCommunity(): CommunityTools; }

For Traders

Trading Tools:

interface TradingTools { // Price Tracking currentPrice: number; priceChart: ChartData[]; priceAlerts: PriceAlert[]; // Analytics tradingVolume: VolumeData; priceHistory: HistoricalData[]; holderDistribution: DistributionData; // Trading executeTrade(): Promise<Transaction>; setPriceAlert(): void; viewPortfolio(): Portfolio; }

Ready to launch your token? Start with our Token Launch Guide or explore Advanced Launch Settings.

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