FAQ

1. What is SP, what is its role, and how is the fixed yield rate formed? SP (Staking Position) represents the maturity redemption rights of a locked position, minted by the initial position owner through encapsulating PT (UPT). It allows holders to redeem the constant principal value of the position upon maturity while generating different fixed yield rates at various time points based on its market order price, thereby offering users flexible yield options.

2. What innovations does the YT model bring, and what benefits does it offer to users? YT (Yield Rate Token) represents the yield portion of a locked position and has no expiration date. The amount minted is proportional to the quantity of staked and locked yield-bearing tokens and the duration of the lock-up. After a certain period of yield accumulation, the value of YT will fluctuate around the yield rate of the yield-bearing token and ultimately exceed the original yield rate. YT enables users to trade the yield rates of yield-bearing tokens, and its mathematical model enhances the yields for long-term stakers while also impacting the implied fixed yield rate of SP.

3. How is the Proof Of Liquidity Token traded, and how is its value defined? Proof Of Liquidity Token (POL) is a certificate for investors participating in FFLaunch Genesis, representing their share in the locked Genesis liquidity pool. Its value fluctuates around the actual token assets value. Since 1/3 of the Genesis fund is deployed to provide liquidity for POL, POL itself has liquidity and can be freely traded on OutSwap.

4. How can FFLaunch be Fair and Free? How does it ensure there is no insider trading or Rug Pull risk?

   • Fair: Investors participating in the Genesis phase do not directly receive the actual tokens but instead receive POL tokens. This ensures that no one can receive the actual tokens ahead of others, thus preventing insider trading. Additionally, during the liquidity lock-up period, the project team and early institutional investors cannot unlock their tokens, reducing the risk of malicious projects.

   • Free: Once the Genesis liquidity lock-up period ends, investors can destroy their POL tokens to redeem the entire Genesis liquidity. This means investors only need to lock their funds for a period and can acquire the actual project tokens for free.

   • For the Project Team: To ensure continuous funding flow, the project team must continually optimize the product and maintain good operations during the Genesis liquidity lock-up period. They can also implement reasonable incentive measures to eventually encourage investors to actively trade the project tokens, thus generating substantial market-making income. This also prevents the project team from raising large amounts of funds in one go and then Rug Pull.

5. Why do investors and project teams choose FFLaunch?

   • For Investors: FFLaunch provides an investment method with near-zero risk. Investors only need to lock their funds for a period and will receive project tokens. This model allows investors to participate in on-chain project financing with extremely low risk.

   • For Project Teams: FFLaunch provides continuous funding flow for the project team and increases the project's visibility and community building through the long-term participation of community investors. Since the tokens are essentially acquired for free, this helps attract more liquidity to the project tokens, generating more market-making income and healthier token liquidity.

   FFLaunch is also suitable for airdrop distributions. Project teams can use a custom token generator interface to limit which users can participate in the Genesis stage.

6. What is the difference between Memeverse and FFLaunch? Memeverse is a omnichain module designed specifically for Memecoins, based on the principles of FFLaunch. It supports the creation of Memecoins and participation in the Genesis phase across multiple chains simultaneously. It inherits nearly all of FFLaunch's advantages, with the only difference being that the POL liquidity in Memeverse is permanently locked. Meanwhile, Memeverse introduces the concepts of Memecoin Staking and Memecoin DAO governance, seamlessly integrating Memecoin with DeFi and DAO frameworks, thereby creating new market use cases.

7. What is the source of earnings for Memecoin Staking? The yields from Memecoin Staking come from the Memecoin portion of the market-making revenue generated by the locked genesis liquidity, while the UPT portion is allocated to the DAO treasury. Additionally, the yield-bearing Memecoin tokens minted from staking Memecoin can be further staked on OutStake, generating additional yields and enhancing their composability.