TechFlow reports that the Ethereum-based token protocol Ethrunes has announced the launch of LaunchSwap, a new trading model combining token launches with a Swap mechanism, integrating token issuance and trading into one process.
During token issuance, all tokens are directly injected into a liquidity pool with a floor price set in advance. When the token's share in the pool exceeds 50%, trades occur at the fixed floor price (with identical buy and sell prices, effectively enabling refundability). Once the token's share drops below 50%, the model switches to the x*y=K constant product formula, functioning similarly to most AMMs.
This model aims to enable fair launches, protect the interests of all token holders, and support permissionless trading. Additionally, it can be integrated with NFT contracts, offering users greater flexibility.
Ethrunes is a novel token protocol inspired by BRC20 and built on ERC1155. It combines inscriptions with smart contracts, also known as "smart inscriptions."
