Dynamic Bonding Curve Engine

The Dynamic Bonding Curve Engine serves as the decentralized pricing and liquidity layer for all tokens minted through Zap.launch. It is a smart contract-based system that deterministically calculates token price based on total supply, using a pre-defined mathematical formula embedded at deployment. This mechanism ensures transparent, trustless, and real-time price discovery without requiring third-party market makers or centralized liquidity coordination.

Reserve Pool and Liquidity Backing

The engine includes an on-chain reserve pool, funded with SOL (or other base assets) from each token purchase. Every transaction modifies both the token supply and the reserve pool balance, ensuring liquidity is always available for buybacks or redemptions. This reserve acts as a fully collateralized AMM, providing deterministic liquidity and eliminating slippage under normal operating conditions.

• Buy Order: Increases supply; reserve grows.

• Sell Order (Burn): Decreases supply; reserve partially returned to seller.

The bonding curve engine continuously recalculates price and reserve ratios in response to every trade, ensuring precise pricing granularity down to the smallest transaction unit.

Automated Threshold Triggers

To transition tokens from private curve-bound liquidity into open market trading, the engine monitors aggregate market cap in real time. Once a token’s cap exceeds the $80,000 threshold, the engine programmatically triggers:

• Reserve allocation to a DEX liquidity pool (e.g., Raydium on Solana)

• Token pair creation and initial pool seeding

• Curve-to-AMM integration for seamless price continuity

This automation allows tokens to evolve from closed-loop ecosystems into publicly accessible markets without needing creator intervention or manual liquidity provision.