FAQ
1. What happens if only the soft cap is met?
If your token sale only meets the soft cap, the presale will still proceed, and you can use the raised funds to continue developing your project. However, any funds below the soft cap will be refunded to the participants if the presale doesn't reach this minimum threshold.
2. Can I adjust the parameters after launching the presale?
No, once the presale has been launched, the parameters such as soft cap, hard cap, token allocation, and presale dates are locked in. This ensures fairness and transparency for your investors, as they can rely on the original terms throughout the sale.
3. How do liquidity pools affect post-launch trading?
Liquidity pools are essential for providing liquidity and stabilizing the token price after the presale. Allocating a higher percentage of your tokens to liquidity ensures smooth and reliable trading on decentralized exchanges (DEXs), reducing price volatility and making it easier for buyers and sellers to trade.
4. What happens if the hard cap is reached before the presale ends?
If the hard cap is reached, the presale will automatically close, and no further tokens will be sold. This prevents overfunding and ensures that the project raises the optimal amount of funds as planned. Investors who miss the presale can still buy tokens when they are listed on exchanges after the sale.
5. How do the different presets impact token price?
The token price is influenced by the soft cap, hard cap, and the percentage of tokens allocated to presale and liquidity pools. Generally, a higher hard cap and lower presale allocation will result in a higher token price post-sale. Each preset has different impacts on token pricing, with lower barriers offering more affordable entry points, while higher barriers provide greater potential returns for early investors.
6. What are vesting and cliff periods, and why should I use them?
Vesting and cliff periods are mechanisms to gradually release tokens to the team or investors over time. This prevents large amounts of tokens from being sold immediately, which could cause price drops. Vesting builds trust and shows commitment to the long-term success of the project. Cliffs delay the initial release of tokens until a certain date, ensuring that participants are aligned with the project’s growth.
7. What is the difference between soft cap and hard cap?
The Soft Cap is the minimum amount of funds your project aims to raise. If this target is not reached, the raised funds may be refunded to investors. The Hard Cap is the maximum amount your project will accept during the presale. Once this cap is reached, the presale automatically closes, and no further tokens are sold.
8. Can I change the preset after I select one?
Once you’ve selected a preset and configured the sale, the parameters are fixed and cannot be changed. It’s important to carefully evaluate the needs of your project and community before finalizing your choice.
9. Can I run multiple token sales with different presets?
Yes, you can run different token sales with different presets depending on your strategy. For example, you might use a Low Barrier preset for early community building and a High Barrier preset later to raise larger amounts of capital from select investors.
10. What is the role of vesting and cliff schedules?
Vesting and cliff schedules prevent token dumping by locking team or investor tokens for a specific period. This builds trust with investors and ensures that the project’s core team remains committed long-term.
11. How do I choose the best preset for my project?
Consider your project’s development stage, community size, and funding goals. If you want wide participation and modest funds, go with the Low Barrier preset. If you need significant funding and have a more exclusive target audience, the High Barrier preset is likely a better fit.
12. What’s the difference between pre-sale tokens and liquidity pool tokens?
Pre-sale Tokens are sold to early investors at a discounted rate, while Liquidity Pool Tokens are reserved to ensure there’s enough liquidity for post-sale trading. This helps maintain the token’s price stability and allows for smooth transactions on exchanges.
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