GraFun, Supported by Floki and DWF Labs, Brings Memecoin Frenzy to BNB Chain

This platform offers a distinct bonding curve system, enabling users to easily introduce a memecoin at a minimal cost, ensuring fair distribution. It shares some resemblance with the popular Solana project, Pump Fun, but the creators of GraFun claim that they’ve implemented significant enhancements.

According to GraFun developers in a recent post, their focus is on fostering lasting investment and genuine growth. Unlike conventional bonding curves, their Fair Curve prioritizes the community above all else, ensuring that everyone who joins reaps benefits. It also empowers you to become part of a Decentralized Autonomous Organization (DAO), where decisions are made collectively by fellow token holders.

Floki stands out as the most prominent memecoin brand on the Binance Smart Chain, and our involvement in its recent launch and ensuring its success demonstrates the significant influence that Floki wields within the Binance ecosystem and across this market sector,” stated a developer from Floki to CoinDesk.

Thanks to Floki’s support, GraFun aims to convey a powerful industry statement: It is the go-to platform for launching memecoins that uphold fair practices in the meme coin sector,” B said.

What is bonding curve model?

Using the bonding curve model, it becomes incredibly accessible and cost-effective for individuals to introduce memecoins or launchpads. For instance, creating a memecoin could be done through GraFun for just a few dollars or less, requiring no prior development experience. Additionally, there’s no need to make any binding commitments such as providing liquidity or incurring high token deployment costs.

Through the memecoin launchpad, the market can ascertain the worth of the memecoin. If there’s substantial demand to push the memecoin to a specific market value (for example, $100,000), it encounters a “bonding curve,” which automatically adds liquidity to a decentralized exchange (DEX) and either burns or locks it. This process enables anyone to purchase the memecoin on DEX platforms.

If a memecoin fails to reach the specified growth trajectory (bonding curve), it won’t be listed for trading on a Decentralized Exchange (DEX). However, the memecoin launchpad platform will still generate revenue in this scenario.

As a researcher delving into the realm of meme coins, I’ve come across two noteworthy platforms that have gained significant popularity due to their unique launchpad models: Pump on Solana and Tron’s Sun Pump. Pump on Solana was one of the trailblazers in this area, while Sun Pump also stands out within the Tron ecosystem.

In the past 6 months, Pump.fun has amassed more than $110 million in service fees, with an estimated yearly revenue of approximately $136.5 million. SunPump, on the other hand, has garnered $5.2 million in fees since its launch just a month ago and is projected to bring in around $51.8 million annually.

Consequently, the vast number of tokens released on platforms like Pump and Sun has often led to most of these tokens falling short of reaching their bonding curve, resulting in losses for users. As CoinDesk previously mentioned, Pump’s fast token creation service suggests that many thousands of tokens have possibly been created since its launch in March. Unfortunately, only a small fraction of these tokens have managed to surpass $10 million in market capitalization, leaving the majority of users disappointed over the past few months.

GraFun’s unique selling proposition lies in its “Fair Curve” approach, a model claimed by developers to mitigate the risk of rug pulls, decrease price manipulation, and promote fairer token distributions, thus minimizing instances where users end up losing their investments.