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What is the Gate Fun protocol mechanism?

Updated over 2 months ago

一、Create process

Gate Fun provides a simple and efficient token creation process, enabling anyone to quickly create Meme tokens without any technical background:

  1. Creat token

    • Users fill in basic token information through an intuitive interface, include:

      • Token Name (up to 30 characters)

      • Token symbol (up to 12 characters, emoji supported)

      • Token Logo (upload a personalized image)

      • Token Description (up to 100 characters, optional)

      • Social media links (optional)

    • Optional settings:

      • Initial Purchase: Allows creators to directly purchase a portion of tokens at creation time, protecting projects from snipers.

      • Community Incentive Reserve: 1%-5% of tokens will be reserved for the Gate Fun ecosystem pool for community rewards and ecosystem development.

The total supply of all tokens is fixed at 1,000,000,000.

二、liquidity mechanism

Gate Fun's liquidity mechanism is implemented through on-chain smart contracts, ensuring fund security, transparent pricing, and automated migration:

  1. Bonding Curve Model

    • During the issuance phase, the bonding curve model is responsible for programmatic pricing and token minting.

    • Tokens are “released” on demand by the smart contract, and users purchase tokens directly from the contract. The price is dynamically adjusted based on the number of tokens sold, following a predefined curve function.

    • This model ensures that early participants enter at a lower price, incentivizing the rapid formation of the community while prices gradually reflect market demand.

  2. Fund guarantee

    • All capital flows in the joint curve phase are based on on-chain smart contracts, which are open and transparent, and users can verify them in real time through blockchain browsers.

    • Funds are locked in the contract and can only be used for token purchases or liquidity pool construction, without the risk of third-party intervention.

  3. Automatic migration

    • When the liquidity pool reaches 1,000 GT, the system automatically triggers a liquidity migration, pairing 20% ​​of the tokens and the remaining 950 GT after deducting creator rewards to GateSwap Standard to establish a liquidity pool.

    • The migration process is controlled by smart contracts, eliminating human manipulation and ensuring fairness and consistency.

    • After the migration is completed, the liquidity LP certificates will be 100% destroyed and the LP will be permanently locked.

Note: The above are provisional rules and will be adjusted based on community and user feedback.

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