Distributions
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There are two main components to every launchpad release:
LGE contributions are the funds investors actually put up and deposit in order to acquire a share of the token supply allocated to the starting liquidity pool, in addition to any rewards and bonuses.
LGE contributions are split as follows:
Distribution
Allocation
XXX Liquidity Pool
45%
XXX/PRISM LP PRISM Purchase
45%
Prism Team
4%
XXX Team
3%
Marketing
2%
Ambassador Fee
1%
45% of contributions are added as the other side of the main liquidity pool for the launching token. On the Ethereum mainnet, this is ETH for the XXX/ETH pair, while other parachains and blockchains will likely have their own native pairing token (BNB, MATIC, etc.).
45% of contributions are used to market purchase PRISM or its wrapped counterpart (depending on which network the launchpad is on) in real-time, reserved to create the XXX/PRISM pair liquidity pool after the funding period closes.
4% of contributions go to Prism team members for their efforts in facilitating the launchpad.
3% of contributions go to the launchpad project team for their efforts in facilitating the launchpad.
2% of contributions go towards marketing for the launchpad project.
1% of contributions go to any referrers who first created the connection between the Prism Network and the launchpad project.
Specific token supply distributions will vary from launch to launch, but in the vast majority of cases the figures will be in a similar range.
Here's an example of what the distributions of a token's total supply could look like:
Distribution
Allocation
Starting liquidity pool
50%
XXX Treasury
15%
XXX/ETH LP Farm
15%
PRISM/ETH LP Farm
10%
Prism Treasury
5%
XXX/PRISM LP Farm
5%
This is the starting liquidity that will be available on the chosen DEX on the network. Liquidity is necessary for traders and investors to be able to freely buy and sell the token without drastic fluctuations in its price (better overall experience for community participants and better overall project sentiment).
As most initial token distributions go, a portion of the token supply will go to the project's treasury in order to facilitate ongoing development of the project.
This portion of the supply is reserved as farmable yield for LGE participants, using the XXX/ETH (replace with another network token if on a different network) they claim after the funding period of the LGE period finishes.
All PRISM holders are able to farm up to 10% of all launchpad projects by providing liquidity to the designated PRISM/XXX pool (the main pairing token will depend on the network) and staking their LP tokens.
A portion of the launchpad token supply goes to the Prism treasury to fund future developments and strategies for the Prism ecosystem.
A portion of the supply is farmable using the XXX/PRISM LP tokens that LGE participants claim after the funding period finishes.
