⤴️Bonding Curve
Bonding Curve Mechanism
The NINJA World platform implements a linear bonding curve mechanism for each mini-world's token economy, providing a transparent, fair, and liquidity-assured method of token distribution and price discovery.
Allocation and Structure
20% of each mini-world's total token supply is allocated to the bonding curve.
Total tokens in bonding curve: 200 Million
Curve type: Linear
Average token price: $0.005
Functionality
The bonding curve operates as an automated market maker (AMM), allowing for continuous token liquidity without the need for traditional order book matching. Key features include:
Continuous Availability: Tokens are always available for purchase or sale through the curve.
Price Determination: The token price increases linearly as tokens are purchased and decreases as they are sold back to the curve.
Predictable Pricing: The linear nature of the curve ensures a predictable price trajectory, beneficial for both short-term traders and long-term holders.
Economic Implications
Market Cap Contribution: The bonding curve tokens contribute $1 million to the mini-world's overall $5 million market cap target.
Early Adoption Incentive: Lower initial prices incentivize early participation in the game's economy.
Liquidity Guarantee: The curve ensures constant liquidity, crucial for a healthy token economy.
Trading Mechanics
Purchase: Users can buy tokens directly from the curve at any time. The price increases with each purchase according to the linear function.
Sale: Users can sell tokens back to the curve, decreasing the price accordingly.
Price Range:
Starting price: $0.001
Ending price: $0.01
Average price: $0.005
Transition to Open Trading
Once a network reaches its milestones (60% Airdrop distributed, 20% Boding Curve sold out), tokens become tradable on a decentralized exchange on TON.
The bonding curve mechanism in NINJA World is designed to create a balanced, transparent, and liquid token economy from a mini-world's inception through to its maturation, aligning the interests of early supporters, active community members, and investors.
Last updated