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Graduation to Chain

Graduation is the most significant event in a Spawn token's lifecycle: the moment a token transitions from the off-chain bonding curve market to on-chain permanence. It only happens when a token has demonstrated real market demand.

What Triggers Graduation​

A token graduates when it reaches a $100,000 fully diluted valuation (Market Cap).

No time component. No secondary conditions.

What Happens at Graduation​

When the graduation threshold is reached, several things happen in sequence:

  1. 1

    Trading freezes

    The off-chain bonding curve market closes at the exact supply and price reached at the graduation moment. This snapshot is the basis for everything that follows.

  2. 2

    The token deploys on-chain

    The token transitions from an off-chain market position to a real on-chain asset on the destination chain.

  3. 3

    Liquidity is seeded

    The 40% token reserve, alongside the USDC collected on the curve, is deployed into an on-chain liquidity pool. The pool opens at the live curve price from the graduation snapshot.

  4. 4

    Tokens are airdropped automatically

    Every holder receives their tokens directly to their wallet based on their bonding curve position. There's no manual claim transaction required.

tip

No action is required. Your tokens arrive in your wallet automatically based on your position at the time of graduation.

After Graduation​

On-chain trading after graduation​

Once a token is on-chain, it trades through standard on-chain market mechanics. The liquidity seeded at graduation provides the market depth for post-graduation trading, so a stronger bonding curve phase produces a stronger starting position.

How post-graduation fee distribution works​

After graduation, a 1% fee applies to trades on the on-chain market. Each pool's v4 hook controls how that fee is used. The default strategy distributes fees to token holders as dividends in USDC or tokenized stocks, claimable at any time. Pools can also use custom v4 hooks to implement other pool strategies.

On-chain trading→1% fee→v4 hook strategy→Holder dividends or custom pool strategy

The result is a post-graduation token where ongoing trading activity is directed by a transparent, pool-level strategy. The default rewards holders directly, while custom hooks support other ways for the pool and its community to benefit.

Destination Chain​

Now: Base in v1

The on-chain liquidity pool and token deployment happen on Base for every token in this version.

Next: Solana, BNB Chain, Ethereum

Additional destination chains are planned as near-future additions, expanding where graduated tokens can continue on-chain.

When more destination chains are available, spawners will have the option to open the graduation destination to a community vote, giving communities a direct say in where their token lives on-chain.

note

The community vote for graduation destination will roll out alongside additional destination chains. It is not available in Spawn v1.

  • The Bonding Curve - see the supply structure that sets up graduation
  • Fees & Economics - understand how post-graduation fee distribution strategies fit into Spawn's model
  • On-Chain by Merit - read the principle behind graduation as a market milestone