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How the Bonding Curve Works

The bonding curve determines token price based on supply. On RISE, the supply is elastic:
  • Buys mint new tokens in real time at the current quoted price
  • Sells burn tokens out of supply permanently
This is fundamentally different from traditional AMMs where tokens already exist and trade against a fixed pool. On RISE, the protocol is always the counterparty — there are no external LPs involved.

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Why Elastic Supply Matters

Because the protocol mints and burns tokens directly, it holds the liquidity backing every token in circulation. This is the architectural foundation that makes the floor price possible. In a standard launchpad:
  • Liquidity is provided by external LPs who can withdraw at any time
  • Token supply is fixed, meaning early holders hold the majority
  • There is no structural floor — price can go to zero
On RISE:
  • Liquidity is protocol-owned and cannot be withdrawn
  • Supply expands on every buy and contracts on every sell
  • The floor is enforced by the reserves accumulated through every trade

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Price Impact

Because supply is elastic and the protocol is the sole counterparty, price impact is determined by the bonding curve parameters set at launch. Each token’s pool is fully isolated — the performance or liquidity of one token has no effect on any other.