[Feature] Mempad

Development
1

MemePad “Fair Launch” Mechanism

  1. Token Creation and Allocation:
    • The creator of a meme token generates a default token supply of 1 billion tokens (100%) and transfers them to the BlastUP DAO.
  2. BlastUP DAO Actions:
    • 10% Vesting for Creator: 10% (100 million tokens) are placed in a vesting contract that releases tokens linearly to the creator starting 24 hours after the token is listed on a DEX. The vesting period is customizable but must be at least 3 months, ensuring the creator cannot dump tokens immediately, thus protecting users while allowing the creator to earn from the token’s development.
    • 10% Vesting for KOLs: Another 10% (100 million tokens) are placed in a vesting contract for a list of Key Opinion Leaders (KOLs) specified by the creator. These tokens also vest linearly starting 24 hours after the DEX listing, with a minimum vesting period of 3 months. If a KOL stops promoting the token during the vesting period, their tokens can be burned at the creator’s request.
    • 70% Sale to Stakers: 70% (700 million tokens) are sold on the MemePad platform to BlastUP stakers for $100,000 using a Bonding Curve system. This means the first buyer purchases at the lowest price, and each subsequent buyer pays a price incremented by 1%.
    • 10% for Liquidity Pool: The remaining 10% (100 million tokens) are retained to create a liquidity pool on a DEX, enabling free trading for all interested parties.
  3. Liquidity Pool Creation:
    • Once all tokens are sold, BlastUP creates a liquidity pool on the DEX with $90,000 and 100 million tokens, setting the initial token price at $0.0009. BlastUP then receives liquidity pool (LP) tokens.
    • Commission: 10% ($10,000) of the proceeds are retained by BlastUP as a commission.
    • LP Token Burn: BlastUP immediately destroys 100% of the LP tokens by sending them to a “dead” address, ensuring the liquidity pool cannot be withdrawn, thus protecting users from liquidity manipulation.

Viability of the MemePad “Fair Launch” Scheme

The MemePad “Fair Launch” scheme addresses several key issues often encountered in meme token launches and includes protective mechanisms for both token creators and investors.

Key Points Highlighting Viability:

  1. Vesting for Token Creator: A linear vesting period of at least 3 months prevents immediate token dumps by the creator, a common issue in cryptocurrency projects, thus maintaining investor trust.
  2. Bonding Curve Sale: Selling 80% of the tokens using a Bonding Curve ensures fair and transparent pricing for early investors, with a gradual price increase for subsequent buyers, encouraging early investment and creating price stability.
  3. Liquidity Pool Creation: Establishing a liquidity pool on a DEX with 10% of the tokens ensures token accessibility for a broader audience and supports liquidity from the start.
  4. LP Token Destruction: Destroying 100% of the LP tokens protects the liquidity pool from manipulation, fostering investor confidence as the liquidity remains constant.

Risks Mitigated by the Scheme

  1. Risk of Token Dumping by Creator: The linear vesting contract, which starts 24 hours after DEX listing and lasts a minimum of 3 months, prevents the creator from immediately selling their tokens and crashing the price.
  2. Risk of Liquidity Manipulation: Destroying all LP tokens after creating the liquidity pool eliminates the possibility of liquidity withdrawal, which could destabilize the market.
  3. Risk of Insufficient Liquidity: Creating a liquidity pool with 10% of the total token supply and maintaining it on a DEX ensures sufficient liquidity for trading immediately after the launch.
  4. Risk of Unfair Token Distribution: The use of a Bonding Curve for token sales ensures fair pricing and incentivizes early investors, preventing sharp price fluctuations.

Conclusion

The MemePad “Fair Launch” scheme is well-designed, incorporating multiple protective measures for both investors and meme token creators. Key mechanisms, such as vesting, liquidity pool creation, and LP token destruction, aim to build trust and stability. Overall, the scheme appears viable and offers innovative solutions to common challenges in cryptocurrency launches.

Process Flow

  1. Application and Validation: The meme creator fills out a form and undergoes two validation steps: first by the BizDev team and then by the Core team.
  2. Token Creation: The BlastUP Dev team creates the default token on the chosen network and transfers the entire supply to the BlastUP DAO.
  3. Token Distribution: The backend monitors deposit events and transfers tokens to users upon purchase.
  4. Liquidity Pool Creation: After 80% of the tokens are sold, the Dev team creates the liquidity pool on the chosen network and burns the LP tokens.
  5. Vesting Start: After creating the liquidity pool, the Dev team sets the vesting start time in the vesting contract for the meme creator.
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