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How App Tokens Work

Each Elata app receives its own ERC-20 token with a fixed supply of 10,000,000 tokens. The token is created during Phase B of the launch process.

Distribution

DestinationShareAmountPurpose
Bonding curve50%5,000,000Liquidity for price discovery
Team vesting wallet25%2,500,000Team incentives, vests linearly
Ecosystem vault25%2,500,000Community incentives, controlled by Safe

Design Purposes

App tokens serve three main functions:
  1. Bootstrap distribution: the bonding curve makes tokens available to early supporters at a price that rises with demand
  2. App incentives: builders use tokens for tournaments, items, staking, and community rewards
  3. Fee routing: trading fees and transfer taxes flow through FeeRouter to the treasury and contributor split

Transfer Tax

App tokens support an optional transfer tax of up to 2% (protocol-wide cap). The tax applies only when:
  • Neither the sender nor the receiver is tax-exempt
  • The transfer touches an allowlisted liquidity pool (LP-keyed)
Transfers between regular wallets that do not involve an LP are not taxed.
Transfer tax is not retroactive. It applies from the moment it is configured. Builders configure it through their Safe.

Token Lifecycle

  1. Phase B deployment: 10M tokens minted, distributed 50/25/25
  2. Bonding curve active: tokens tradeable on the curve
  3. Graduation: remaining curve tokens and ELTA pair on a DEX, LP locked for 730 days
  4. Post-graduation: tokens trade freely on the DEX with fee routing active
  5. Burns: item purchases burn tokens, reducing supply over time

Next

Bonding Curve Basics

Price discovery mechanics

Fee Flow for Apps

How fees are routed

Items and Unlocks

Token burn through items