Internet
bonding curve
What does bonding curve mean?
A pricing mechanism where a token's price rises along a mathematical curve as more is bought and falls as it's sold, used by launchpads like pump.fun to let tokens trade instantly without seeded liquidity.
"Early buyers on the bonding curve got the cheapest entry before it graduated."
Origin
DeFi primitive popularised for memecoin launches on platforms like pump.fun.
Frequently asked questions
What is a bonding curve in crypto?
It's a formula that automatically sets a token's price based on its supply — the price climbs as people buy and drops as they sell, so no seeded liquidity pool is needed.
How does a bonding curve work?
Each buy pushes the price further up the curve and each sell moves it back down, meaning the earliest buyers get the lowest prices and later buyers pay more.
Why do memecoins use bonding curves?
They let a token launch and trade instantly without anyone providing liquidity first, which is why launchpads like pump.fun use them for fair-launch memecoins.
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