Economic Engine

Bonding Curve

How accumulated capital, price, market cap, liquidity, buys, and sells connect through a continuous launch curve.

Mapa conceitual

A bonding curve defines price as capital enters or exits a market.
The curve reduces dependency on a deep order book during launch.
Buys move the curve upward; sells move it downward.
Market cap is derived from current price and the considered supply.

Flowchart

  1. 1The user enters a buy amount or sell quantity.
  2. 2The engine estimates tokens, market impact, fees, and slippage.
  3. 3The order is validated against balance, liquidity, and limits.
  4. 4The token economic state is updated.
  5. 5Candles, rankings, volume, and history receive the event.

Diagrama operacional

Capital in -> price recalculation -> market cap rises -> liquidity increases -> volume updates
Capital out -> price recalculation -> market cap falls -> liquidity decreases -> history updates

Introduction

Bonding Curve is an official layer of the AVEXUM infrastructure. This section explains the product rationale, expected behavior, and operational limits.

The curve turns buy and sell intent into readable pricing before a market has deep liquidity.

Core Principles

AVEXUM separates social experience, trading, reputation, and governance into clear modules that work independently and remain consistent together.

  • Operational transparency before complexity.
  • Simple user-facing rules with auditable platform models.
  • Stable product first, then automation, APIs, and future on-chain layers.

How It Works

Each important action should leave a traceable record: input, validation, calculation, persistence, interface update, and historical log.

Best Practices

Users, creators, and operators should review liquidity, history, reputation, volatility, concentration, and market events before acting.

  • Compare short and medium-term metrics.
  • Do not assume isolated volume means quality.
  • Read risk notices before using new markets.

Examples

  • A $100 buy in a fresh token can move price more than a $100 buy in a deep market.
  • A large early sell can create a visible percentage move, so impact is shown before confirmation.

Formulas and Numeric Reading

  • Indicative price = f(accumulated capital, issued supply, curve parameters)
  • Market cap ~= current price x considered supply
  • Market impact ~= (post-order price - pre-order price) / pre-order price

Important Notices

  • Market cap is not withdrawable cash.
  • Early markets can be extremely volatile.

Best Practices

  • Check liquidity.
  • Review slippage.
  • Avoid concentrated entries without history.

Next Features

  • Interactive curve chart
  • Creator controls
  • Execution cost reports

Related Roadmap

Public impact preview
Category-specific curve parameters
On-chain migration readiness

Specific FAQ

Why does the bonding curve exist on AVEXUM?

To make product rules auditable, predictable, and easy to understand.

Does this guarantee returns?

No. Documentation explains mechanics and risk; it does not promise financial results.

Can parameters change?

Yes. Relevant changes should be versioned, communicated, and reflected in public documentation.

How should users interpret the bonding curve?

As market infrastructure, never as a buy or sell recommendation.