There is a science to issue a token.
At least according to Shane Molidor, the founder of the forgotten, a platform that specializes in counseling crypto projects on how to launch their own folk tokens.
“It’s easier to launch a token than ever before, especially at the Pump.Fun,” Molidor told CoinDesk in an interview, referring to the Solana -based launch platform favored by Memecoin creators. “But it’s harder now than launching a utility token that really ends well, as there is a certain amount of attention to investors and institutional investors.”
“At the end of the day, everyone is looking for a positive return to investment, but if there is a border capital pool, you have a lot of churn,” Molidor added.
FOMD provides free-to-use software for Blockchain projects to design tokenomics, engage in market makers, navigate exchange lists, and underwrite their own appreciation for the launch.
When they officially launch their token, these projects can continue to use the forgotten as a data platform to monitor their market makers, monitor unlocked, and optimize demand token drivers.
The company also has internal counseling skills to help guidance on large projects to develop. Most recently -at least, forgotten to build a portal where other token advisory firms could manage their portfolio; In addition, market makers can access transparent deals, as well as time -up time obligations.
The software has been used by more than 1,500 projects, according to Molidor, about half of it focused on research, meaning users play around tools to understand how it works.
Most of the time, the more serious projects (which Molidor called “Blue Chips”) ends with software while still working at an advisory firm – which can be forgotten itself, or one of its competitors.
In Molidor’s book, to qualify as a “blue chip project” means raising significant funds from venture capitalists and offering their token to nearly $ 100 million notional or more than major centralized exchanges. Multiple tokens today in the top 100 in terms of market capitalization were launched by forgotten, Molidor said, even though he refused to give any names.
“The goal is to provide transparency and standardize this go-to-market process,” Molidor said. “It always struck me as strange … Protocol innovators are expected to be subject experts in everything in the microstructure market.”
“A lot of the intricacies of this go-to-market process are very black boxes all but the insider. I used to be one of those insider, so I knew how to navigate the process,” he added.
Unstable launch process
The recommendations of the forgotten are fully driven by the data, according to Molidor. For tokenomics, for example, the firm will look at all the projects recently launched, identify well -performing, and study things such as token distribution, token releases, their appreciation for launch day, price performance, market capitalization, trading volume, and more.
The review also covers market makers – which one is used, what is their percentage of the total order book, what is the contribution to terms of making or filling orders, the tightness of the spreads, et cetera. That way, when a project wants to be launched along with the forgotten, it finds a performance in the history of the market manufacturer before contact with them.
Obviously, the markets are changing all the time, and what may have worked for a specific fall project of 2024 may not work on the Tag of 2025. But Forgd is taking care of its database care for every new major launch Live.
Most forgotten works with native crypto companies, although Molidor said the firm has had conversations with major, sophisticated institutions interested in learning about the process of launching a token.
In Molidor’s saying, the current process for launching tokens-with assets trading multi-billion dollars fully melted values shortly after launch, and with hyperinflationary token emissions over a period of three or four years-are completely unstable and need to change. In these projects, demand is usually limited to the opening days or weeks; Thereafter, the attention of public investment moved to other projects.
“The fact is that, behind the scenes, at the launch of big time, the price opening and the size of the… Pop is hyper works, either exchange or market manufacturers, so the project can have a very small influence on how high they trade in the first one minute.
“What I think is more common is that the project does not know how to structure a balanced relationship with strategic partners like market manufacturers, and they do not intend to put themselves in a position where the market manufacturer has been incentive to let the price rip,” he added.
The problem can be fixed if the mechanisms are placed in place to ensure sustainable demand in the second market, Molidor said. In traditional markets, when a company goes public, it has some assurance in the process of developing a book from the underwriter that will have institutional demand, he said. However, tokens can usually only rely on the retail speculation that is demanded once they go to the market.
To remedy that, the structures of the deal can be carried out in a way that, if an institution wants to invest in the main market, they are only allowed to invest a small portion of the capital they want to provide – along with a break marked for the second market.
“As the Defi Summer revolution in the way we think about the provision of liquidity, I wouldn’t be surprised if we see on-chain mechanisms that indicate the purchase of the on-chain side after a token has been launched, which can reduce the yield generated in the tokens, or Stablecoins said it would lower the basis of the cost of institutions,” Molidor said.
