Skip to main content

Overview

Every app token trades on a bonding curve until graduation. Price is set by math — buy = price goes up, sell = price goes down. Early buyers get better prices.

How Bonding Curves Work

A bonding curve is a mathematical formula that determines token price based on supply:
Price = f(Supply Sold)
As more tokens are purchased:
  • Price increases according to the curve
  • Early buyers get lower prices
  • Later buyers pay higher prices
  • Sellers receive the current curve price
Bonding curve model

Key Parameters

ParameterValueDescription
Launch Cost110 ELTA100 seed + 10 fee
Token Supply1 billionTotal app token supply
Creator Share50%Auto-staked at launch
Curve Share50%Available for purchase
Trading Fee1%Applied to all trades
Graduation Target42,000 ELTATriggers DEX listing

Token Distribution

At launch, the 1 billion tokens are split:

Creator Allocation (50%)

  • 500 million tokens minted to creator
  • Automatically staked in the staking vault
  • Earns trading fees immediately
  • Can be unstaked anytime (visible on-chain)

Bonding Curve (50%)

  • 500 million tokens available for public purchase
  • Price starts low, increases with demand
  • Sold tokens remain in circulation
  • Unsold tokens stay on curve until graduation

Price Mechanics

Buying Tokens

When you buy app tokens:
  1. You pay ELTA to the bonding curve
  2. Price is calculated based on current supply sold
  3. 1% trading fee is deducted
  4. You receive app tokens at the curve price
Example Buy:
Want: 1,000,000 APP tokens
Curve Price: 0.00005 ELTA per token
Subtotal: 50 ELTA
Trading Fee (1%): 0.5 ELTA
Total Cost: 50.5 ELTA

Selling Tokens

When you sell app tokens:
  1. You send app tokens back to the curve
  2. Current curve price determines ELTA received
  3. 1% trading fee is deducted
  4. You receive ELTA
Example Sell:
Selling: 1,000,000 APP tokens
Curve Price: 0.00008 ELTA per token
Gross: 80 ELTA
Trading Fee (1%): 0.8 ELTA
You Receive: 79.2 ELTA

Price Impact

Large orders affect the price:
  • Big buys push price higher during execution
  • Big sells push price lower during execution
  • The curve ensures continuous liquidity

Fee Distribution

The 1% trading fee is distributed automatically:
RecipientSharePurpose
App Stakers70%Rewards for staking
veELTA Holders15%Protocol governance rewards
Treasury15%Protocol development
Example: On a trade with 1 ELTA fee:
  • 0.70 ELTA → App token stakers
  • 0.15 ELTA → veELTA holders
  • 0.15 ELTA → Treasury

Graduation

When the bonding curve accumulates 42,000 ELTA, graduation triggers automatically:

What Happens

  1. Liquidity Deployment: ELTA + remaining tokens create a DEX pair
  2. LP Locking: Liquidity tokens locked for 2 years
  3. Free Trading: Token now trades on decentralized exchanges
  4. Bonding Curve Closes: No more curve trades

Why 42,000 ELTA?

This target ensures:
  • Sufficient liquidity for healthy trading
  • Meaningful price discovery phase
  • Protection against low-liquidity manipulation

Post-Graduation

After graduation:
  • Trade on DEX (Uniswap, etc.)
  • Transfer fees (1%) still apply
  • Staking rewards continue
  • LP is locked (rug-pull protection)

XP-Gated Early Access

New app launches include a 6-hour early access period:
TimeWho Can Buy
0-6 hoursXP holders only (≥100 XP)
After 6 hoursEveryone

Why Early Access?

  • Rewards participation: XP is earned through protocol engagement
  • Prevents sniping: Bots can’t front-run without XP
  • Fair distribution: Real users get first access

Price Growth Example

Price growth with supply As tokens are purchased:
Tokens SoldPrice (ELTA)Market Cap
10M0.0000110K ELTA
50M0.00003150K ELTA
100M0.00005500K ELTA
200M0.00012M ELTA
500MGraduationDEX Trading
Note: Actual curve parameters may vary

LP Locking

At graduation, liquidity pool tokens are locked for 2 years:

What This Means

  • Creator cannot remove liquidity
  • Liquidity stays in the pool
  • Protects against “rug pulls”
  • Ensures long-term trading availability

Viewing Lock Info

On your app’s detail page:
  • Lock address shown in Contract Addresses
  • Unlock date displayed
  • Verifiable on Basescan

Builder Economics

Your Revenue Sources

As an app creator:
  1. Staking Rewards: 50% stake earns proportional fees
  2. Token Appreciation: If demand grows, your tokens gain value
  3. Items/Tournaments: Additional revenue streams

Example Scenario

Launch: 110 ELTA
Your stake: 50% of supply

Month 1 trading volume: 5,000 ELTA
Trading fees: 50 ELTA
Your share (as ~50% of stakers): ~17.5 ELTA

If app graduates and token 2x:
Your 500M tokens worth significantly more

Advice

  • Most apps don’t graduate — focus on building something people want
  • Talk to your holders — updates and engagement drive demand
  • Keep your stake — unstaking is visible on-chain, signals you’re leaving
  • Plan for graduation — know what you’ll do once you’re on DEX

Key Formulas

Trading Fee

Fprotocol=P×0.01F_{\text{protocol}} = P \times 0.01 Where PP is the purchase/sale amount.

Graduation Trigger

Graduate when ELTA in curve42,000\text{Graduate when } \sum \text{ELTA in curve} \geq 42{,}000

LP Lock Period

Unlock Date=Graduation Date+730 days\text{Unlock Date} = \text{Graduation Date} + 730 \text{ days}

Next Steps