In collaboration with DEXScreener’s Moonshot, PAKA is setting a new standard for memecoin launchpads, where both creators and holders can earn trading fees from permanently locked liquidity. This groundbreaking approach is designed to create true community-owned memecoins that thrive over the long term.
The Problems with the Current Memecoin Model
The current memecoin ecosystem is plagued by a fundamental flaw: the rampant occurrence of CTOs (community takeovers), where creators pump, dump, and disappear, leaving holders stranded. This short-term profit strategy creates a stark misalignment between creators and holders, making it nearly impossible for communities to sustain and support a memecoin project over time. As a result, only a few memecoins manage to survive beyond their initial hype.
Furthermore, in an attempt to inspire confidence among traders, memecoin creators have resorted to permanently locking liquidity. While this ensures some level of security for traders, it cuts off creators from a significant revenue source. According to Keyrock, the top memecoins have lost nearly $300 million in fees due to locked liquidity. When considering the broader market, it’s estimated that over half a billion dollars in fees have been lost across various tokens.
PAKA’S New Era for Memecoins
PAKA addresses these issues by allowing fees to be claimed on locked liquidity, creating a royalty-like revenue stream for creators. This innovation shifts the focus back to what really matters: building and nurturing a strong community around the token. With Paka, creators no longer need to be sophisticated traders or rely on large treasuries to sustain themselves. Instead, they can focus on driving attention and growth, aligning their interests with those of the holders.
Moonshot’s Community-Owned Memecoins
Moonshot has integrated Paka’s Memecoin Pools to capitalize on these locked liquidity fees, paving the way for true community-owned memecoins. When creators choose to launch liquidity on Paka through Moonshot, both the creators and the top holders who bought in through Moonshot become co-owners of the memecoin, earning lifetime fees on their locked liquidity.
This model significantly expands the base of stakeholders who are motivated to continue supporting and growing the token, even if they decide to sell their initial holdings. With this larger and more engaged community, memecoins launched through Moonshot and Paka are more likely to succeed compared to those launched on traditional platforms.
How Do Fees Work in Paka’s Memecoin Pools?
- Permanently-Locked Liquidity with Claimable Fees: The liquidity added during pool creation is locked forever, ensuring community confidence. However, you can still earn fees on your locked liquidity. The majority of liquidity in the pool equates to the highest fees. These fees are automatically added back to the pool and compounded, so the longer you hold, the faster your earnings grow.
- Dynamic Fee: The protocol sets dynamic fees, ranging from 0.15% to 15%, which may adjust over time to optimize revenue and volume under varying market conditions. In addition, liquidity providers earn lending yield from the locked SOL in the memecoin pool.
- Volume Referral Fee: 20% of the dynamic fee is allocated as a volume referral fee, rewarding integrators or trading bots that drive volume to the pool. This incentive boosts integration with Paka, thereby increasing pool volume.
Fees Distribution Through the Moonshot Integration
Of the 80% of the Dynamic Fee captured by Paka:
- 20% goes to the memecoin creator on Moonshot, forever.
- 70% goes to the initial top 50 holders, forever.
- The remaining 10% goes to DEXScreener.
Join the New Era of Memecoins
Paka’s approach creates a powerful alignment between creators and holders by turning major holders into true “owners” of the memecoin. By enabling them to claim fees on locked liquidity indefinitely, Paka transforms these holders into long-term advocates and drivers of success. This sustainable revenue stream benefits everyone involved, making the memecoin space more resilient and rewarding.
Traditional launchpads typically focus on transitioning from memecoin creation to building a trading-focused holder base. In contrast, Moonshot and Paka create an “owner” base that directly incentivizes long-term growth. The more attention the token attracts, the higher the trading volume, and the greater the fees earned for both creators and holders.
This paradigm shift eliminates the need for the destructive pump-and-dump cycle. Instead, creators and holders can focus on what truly matters: building and growing a vibrant community. This, we believe, is the key to ensuring the long-term sustainability of the memecoin space.
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submitted by /u/thasonn
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