Valuation Mechanics

Token Pricing Strategy

Don't guess. Engineer your token's value. Learn the mathematical models and psychological levers to set the perfect launch price.

Pricing Models

Fixed Pricing

Simple and transparent. Set a static price (e.g., $0.10) for all investors in a round. Best for seed sales.

Bonding Curve

The algorithmic approach. Price increases automatically as more tokens are bought. Rewards early adopters.

Dutch Auction

Start high, drop until sold. Used by Polkadot and Algorand to find fair market value without gas wars.

The Golden Formula

Your token price is derived from your target Fully Diluted Valuation (FDV) and total supply. Getting this ratio right is crucial.

// Example Calculation
Target Raise:$2,000,000
Tokens Sold (20%):20,000,000
Token Price:$0.10
Implied FDV:$10,000,000

Undervalued Launch

Creates hype, quick pump on listing.

Overvalued Launch

Maximizes raise, but risks post-listing dump.

Balanced Launch

The sweet spot. Sustainable growth.

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