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TONCO DEX x Meme Coins: Why Launch Meme Tokens on TONCO?

By TONCO on 11/12/2024

Tonco loves memes

In this article, we’ll explore different strategies for launching meme coins using TONCO, a decentralized exchange that opens up new possibilities for managing liquidity and reducing risk.

Traditionally, launching meme tokens involves external mechanisms to boost early-stage growth and minimize investor risks. However, with the introduction of concentrated liquidity, these approaches become even more flexible and effective.

What is Concentrated Liquidity?

Concentrated Liquidity Automated Market Maker (CLAMM) is a liquidity model that allows liquidity providers (LPs) to focus their capital in specific price ranges rather than spreading it across the entire spectrum. Unlike traditional AMM v2, CLAMM lets LPs concentrate liquidity where trading activity is likely to happen, increasing asset efficiency and ensuring deep liquidity for traders.

Learn more about CLAMM:

blog.tonco.io/en/posts/understanding-clamm-new-liquidity-model-ton. 

Concentrated liquidity also enables the creation of any price curve, offering limitless flexibility for designing token launch and maintenance strategies. Projects can fine-tune the balance between price, supply volume, and profit.

Let’s dive into a few strategies using TONCO:

Strategy 1. "One Price for All"

In this strategy, the entire supply (or a large portion of it) of tokens is placed within one or several price ranges. This allows all users to purchase tokens at the same price, regardless of when they buy.

One Price for All

Strategy 2. "The Steps"

Liquidity is arranged in steps, requiring more purchases to reach the next price level. This strategy accelerates early-stage price growth when it’s most important and then slows down as the project matures, allowing it to profit without causing sudden price swings.

The Steps

Strategy 3. "Price Drop Protection"

With a large enough liquidity pool at launch (or by using one of the above strategies), a project can safeguard its token against price drops. By placing maximum liquidity (e.g., USDT/ETH) within the nearest price range, users would need to sell a massive volume of tokens to shift the price, making a significant drop nearly impossible.

Price Drop Protection

Strategy 4. "Dynamic Fees"

Beyond liquidity management, projects can adjust trading fees for their token pairs. This fee serves as an additional revenue stream for LPs and can reach millions of dollars. Setting a low fee in early stages attracts traders, but this parameter can be adjusted based on project goals.

Concentrated liquidity enables a range of launch and maintenance strategies, which can be used in combination or in succession to create dynamic, efficient frameworks.

Tonco the scientist

Rug-Pull Protection

To protect against a “rug pull”—where a project withdraws liquidity, leaving investors without a way to sell their tokens—projects can use token position (NFT) locks. This ensures tokens can’t be withdrawn, either fully or partially, until a predetermined date. Lock types include:

  • Permanent: The project won’t access the liquidity at all.

  • Temporary: Liquidity becomes movable only after a set date.

Lock durations can be customized based on strategy, providing both flexibility and security for users.

Farming

Projects providing liquidity on TONCO can motivate users to buy tokens and supply liquidity themselves through a farming program. Rewards are fairly distributed only to those whose liquidity is actively traded, attracting users and encouraging effective liquidity placement, reducing price impact during trades and driving up trading volume.

TONCO farming UI

Through these strategies, TONCO offers powerful tools for launching meme coins, minimizing risks, and ensuring long-term stability.

Calling all TON projects to list on TONCO

TON-native projects, don’t miss our unique offer!

Apply for free listing on TONCO DEX to create efficient liquidity pools with your tokens.

Listing comes with key perks, including weekly USDC rewards for LPs based on TVL.

Apply now: forms.gle/n4rgcjZvPnomdGye6

TONCO x Meme Coins

Whether established or new (even pre-launch!), we’ll support your project with:

  • Weekly USDT farming rewards

  • Co-marketing campaigns with TONCO to boost visibility

  • Expert liquidity strategies to increase TVL

The TONCO team is here to assist every step of the way—from strategy selection within our CLAMM model to co-marketing. Boost your token’s TVL and trading volume!

Fill out the form to get started: forms.gle/n4rgcjZvPnomdGye6. 

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