FAQ

1. What is POT, what is its role, and how is the fixed interest rate formed? POT (Position Option Token) represents the redemption right of a locked position at maturity, minted by locking yield-bearing tokens. It allows holders to destroy a fixed number of POT and PT (Principal Token) to redeem the constant principal value of the position at maturity. Essentially, it is an option, and the fixed interest rate is formed based on the market price of POT at different points in time, providing users with flexible yield options.

2. What innovations does the YT model bring, and what benefits does it offer to users? YT (Yield Token) represents the interest portion of a locked position, without a fixed maturity date. The number of YT minted is proportional to the amount of staked yield-bearing tokens and the duration. After a certain period of yield accumulation, the value of YT fluctuates around the interest rate of the yield-bearing tokens. YT allows users to trade the interest rate of yield-bearing tokens, and its mathematical model can increase the yield for long-term stakers, while also influencing the implied fixed interest rate of POT.

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. Additionally, Memeverse introduces the concept of MemeFi, perfectly integrating Memecoins with DeFi and creating new market use cases.

7. What is the source of earnings for Memecoin Staking? The earnings from Memecoin Staking primarily comes from the Memecoin portion of the locked-liquidity market-making income. Additionally, the Memecoin yield-bearing tokens minted from staking Memecoin can be further staked on OutStake to earn more yields and enhance their composability.