Bonding Curve

Understanding CAPZ's bonding curve is essential for successful trading. This automated market-making system determines token prices, provides instant liquidity, and creates a fair launch mechanism for all creator tokens.

What is a Bonding Curve?

A bonding curve is a mathematical formula that automatically determines token prices based on supply and demand. Unlike traditional markets where prices are set by order books, bonding curves use algorithmic pricing to ensure:

• Instant liquidity - Always able to buy or sell

• Fair pricing - Transparent, predictable price discovery

• No rug pulls - Liquidity can't be removed by creators

• Automatic market making - No need for manual liquidity provision

The Mathematical Formula

CAPZ uses a constant product market maker (CPMM) bonding curve via Meteora DBC program.

The Progress Bar System

Every token displays a progress bar showing how close it is to "graduation" (moving to a traditional DEX).

When Graduation Occurs

Whena a coin reaches 100% progress, it triggers:

✅ Automatic migration from Meteora DBC (Bounding Curve) to Meteora Dammv2 (Dex AMM) ✅ Liquidity pool creation with all accumulated SOL

Current Process: The migration is automatic and handled directly by the Meteora crankers on Solana mainnet.