Bonding Curves
Logic underpinning the curves
Flat Curve
This flat bonding curve allows creators to bootstrap liquidity at a fixed price while enabling token migration and collateral transfer to a preferred DEX.
- Migration Trigger: ~49% of the 1 billion token supply is sold.
- Graduation Liquidity: Set by the creator (minimum 25SOL).
- Creator Allocation: ~17.5% of the supply in Jupiter Lock, vested over 12 months with a 1-week cliff.
- Market Cap (Mcap):
2 × Graduation Liquidity
.
Key Metrics
- Total Supply (T):
1,000,000,000
tokens - Market Cap (Fully Diluted):
2 × Graduation Liquidity
- Token Price on Bonding Curve:
Market Cap / Total Supply
- Allocation at Migration (A):
~49% × Total Supply ≈ 490M
- Max Allocation Before Migration:
Up to 49.9% if a large buy occurs before the threshold
- Flat Price Mechanics: Token price remains fixed until migration.
Migration Fee (F)
- Raydium:
6 SOL
(1 SOL → Raydium, 3 SOL → OpenBook, 2 SOL → Moonit) - Meteora:
3 SOL
(1 SOL → Token accounts, 2 SOL → Moonit)
Calculations
Token Price at Migration: Price on Bonding Curve × 1.2
**Tokens to Burn (B): **B = T - A - M
Creator Allocation (Jupiter Lock): 45% × M
**Final Tokens Migrated: **Final Tokens Migrated = M - Creator Allocation
Final Token Price on DEX: (Collateral Collected - Migration Fees) / Final Tokens Migrated
Example Calculation (Devnet Token)
- Token Address:
6YaxbM5KTC5hJVYsZFYtKRBJfYdWNaojjwtURBBDmoon
- Total Supply (T) =
1,000,000,000
- Graduation Liquidity =
25 SOL
- Mcap (Fully Diluted) =
51.02 SOL
- Price on Bonding Curve =
51.02 SOL / 1,000,000,000 = 51.02 lamports
- Allocation at Migration (A) =
491,328,686
tokens - Collateral Shifted to Meteora =
25.07 - 3 = 22.07 SOL
- Tokens to Migrate:
22.07 / (61.22 × 10^-9) ≈ 360M
- Tokens to Burn:
1,000,000,000 - 491,328,686 - 360,000,000 = 148M
- Creator Allocation:
45% × 360M ≈ 162M
- Final Tokens Migrated to Meteora:
360M - 162M = 198M
- Final Token Price on Meteora:
22.07 SOL / 198,000,000 = ~111 Lamports
Classic Curve
- Migration Trigger: ~80% of 1B token supply is sold.
- Market Cap at Migration:
~431 SOL
. - Collateral Collected:
~88 SOL
. - DEX Choice: Migration to Meteora or Raydium (set by the creator at launch).
Bonding Curve Formula
vTOKEN × vSOL = k
Where:
- vTOKEN = Virtual reserve of the token.
- vSOL = Virtual reserve of the collateral (SOL).
- k = Constant determining the curve shape.
Setting Initial Values
k = vTOKEN × vSOL = iVTOKEN × iVSOL
Initial Price: iVSOL / iVTOKEN = 27.95 lamports
Initial Virtual Reserves: iVTOKEN = 1,073,000,000
, iVSOL = 30 SOL
Key Metrics
- Total Supply (T) = 1,000,000,000
- Minimum Price = 27.95 lamports
- Mcap at Migration = 431 SOL
- Allocation at Migration (A) = ~80% of total supply
- MarketCapThreshold = 345 SOL
- Max Allocation Before Migration = 82% if a large buy occurs before the threshold
- Curve Progress (%) = Allocation / Min Token Amount (799,820,983,207,404,442)
Migration Fee (F)
- Raydium:
6 SOL
(1 SOL → Raydium, 3 SOL → OpenBook, 2 SOL → Moonit). - Meteora:
3 SOL
(1 SOL → Token accounts, 2 SOL → Moonit).
Calculations
Tokens to Migrate (M): (Collateral Collected - Migration Fees) / Price at Migration
Tokens to Burn (B): T - A - M
Example Calculation
- Token Address:
6ovpeZNwNbXJzUaXMs8zozh9JvnJPq5teUJTQtLhRDwg
- Total Supply (T) =
1,000,000,000
- Allocation at Migration (A) =
801,085,146
- Collateral Shifted to Raydium =
88.39 - 6 = 82.39 SOL
- Price at Migration:
(1,073,000,000 - 801,085,146) / (88.39 + 30) = 4.35e-7
- Tokens to Migrate:
82.39 / 4.35e-7 ≈ 189M
- Tokens to Burn:
1,000,000,000 - 801,085,146 - 189,228,531 = 9.69M
Updated 17 days ago