PIP-111: Signaling Vote to launch Paloma GRAIN Token on Ethereum Uniswap V2 or Solana Raydium as Memecoin
Status: Proposed
Author(s): BoweryKing
Type: Token Launch Proposal
Discussions-to: Governance - Paloma
Created: 11/11/2024
Simple Summary
This is a signalling vote to the Paloma Foundation to launch the Paloma GRAIN token on the Ethereum Blockchain as a Uniswap v2 or Raydium Memecoin with 1,288,000,000Billion Grains from the Paloma Foundation Eco system Funds. We also signal the Paloma Foundation to launch the Uniswap v2 (WETH/GRAIN) pool or a Solana Raydium (SOL/GRAIN) pool as a memecoin with at least 10ETH or 392.09 SOL of liquidity and deploy the pool with a price per token proposed 0.000000020186335403 ETH and an initial pool launch Market CAP of 1954.275 SOL or 130 ETH.
Abstract
The Paloma Blockchain mainnet tumbler network continues successfully nearly two years after launch. The GRAIN token is now owned by thousands of Paloma LightNode buyers as well as validators. Given the changing nature of demand for Bitcoin and elections outcome in the USA, we believe that it’s important that the Paloma community launches its token for trading in this window as the broader market of altcoins begin their rally.
Launching the GRAIN token means also making the token attractive as possible, at launch to buyers of memecoin tokens. We will outline the memecoin analysis that we ask the Paloma community and Foundation to consider for the launch of GRAIN tokens. The key parameters for the launch include:
- Uniswap V2 Ethereum or Solana Raydium Token Launch
- Bridge 1,288,000,000 GRAINs as liquidity for launch from Paloma Foundation wallets to Base EVM L2 and then to Solana via Wormhole Bridge
- Initial Pool launch Liquidity between 10 ETH or 392 SOL
- Liquidity Mining incentives for GRAIN LP providers locking up for the following periods
- 6 month
- 1 year
- 4 years
- Initial GRAIN price of 0.000000020186335403 ETH or Market CAP of $412,000 at pool deployment.
- Burn LP tokens on either UniswapV2 or Raydium to signal that the GRAIN token liquidity will be available or all the Paloma flock.
Paloma GRAIN token Ethereum Uniswap V2 Pool Analysis
We reference https://pump.fun as a bench mark standard in recent memecoin tokenomics - as seen by many successful coin launches proven battle tested token memecoin launch model. This research is for Uniswap V2, but will apply to Raydium pool deployment as well.
Example Token: https://solscan.io/tx/2EAiRqxAqT4BdMDkpzRTHCjrkucce2JHBKoDsJibfzKyMhPd4E4cv2ydrmbNh9T7xa2CRHonnq7JSf4duKxnSLfj
- 206,900,000 tokens paired with 79 SOL ($15,777) 0.00000002 ETH at bonding break as a benchmark
- 0.000061 USD per token paired with $15,777 = 206,900,000 // 1 billion tokens * $0.000061 usd $61,000 MCAP
- 1.0304 billion = 16% of 6.44 billion GRAIN tokens
- To achieve a $61k MCAP with 1.0304 billion GRAIN tokens = $0.0000592 per token price = 0.000000019524325429609368 ETH per token (at time of writing)
- If $15,777 provides liquidity for 1 billion tokens, we can calculate the liquidity for 1.0304 billion tokens by scaling up proportionally:
- Liquidity=15,777×1.0304 billion1 billion
- Liquidity=15,777×1 billion1.0304 billion
- Liquidity=15,777×1.0304=16,251.8208
- Liquidity=15,777×1.0304=16,251.8208
So, $16,251.82 would be the liquidity for 1.0304 billion tokens = 5.36 ETH
- Now to take into consideration the 15.5% unlocked private investor added sell pressure:
- 0.0000592 * 6.44B = $381,248 MCAP total valuation (Total possible sell pressure vs 2.5MM total raised)
Sell pressure analysis:
- In Pump.fun, 80% of those tokens are made from sellable “presalers” while rest burned in liquidity
- in our case 84% of tokens will eventually become sellable over the long term which works out and can closely mirror this model - with 15.5% realistically being instant sales for liquidity.
- We hypothesize $387,500 USD max possible instant sell pressure on launch
- [ 0.000061 * 6.44 B tokens = $392,840 initial market cap ]
Market psychology analysis:
- once organic buys come in investors will be up initially when looking at total pooled coins in uniswap which is positive sentiment for the project - investor relations positive long term
- expect small percentage of people who flip, flip for quick 2x so regardless they will be out
- veteran investors will hold for 10 - 100x or greater
- expect at worst dump down to a 1x price with a quick recovery - here it is recommended to re-invest buys with market makers or
the market will see the floor and buy up from here. Keeping a focus on balance of volatility vs. slippage tolerance. Lower liquidity
can be positive in this situation providing a guard rail on hard dumps by investors and balancing the ability to pump with organic market demand. - Scenario 1: private investors all insta-dump price impact and resiliency
- Scenario 2: investors dump over 4 years resiliency (if ZERO market buys)
- Scenario 3: RNG random scenario’s with investor release over 4 years
Synopsis: hard MVL limit of 10 ETH with a recommended amount of 25 ETH to avoid potential slippage issues if you think 15.5% market sellers are going to dump initially. This slippage room also gives incentives for whales and larger investors to take the project more seriously and allows a smooth buying experience, while maintaining healthy volatility rates for potential growth and lessens chances / inventives of any significant MEV attacks.
make an entire new test with uniswap v2 where 10 ETH is put in for liquidity and 1 billion tokens with a price of 0.00000002011797 ETH and some users can buy and sell after.
Burning the Uniswapv2 or Raydium Pool LP Tokens
We also instruct the Paloma Foundation to burn hundred percent of their LP tokens on the Uniswap v2 or Raydium Pool to gain community trust and ensure the GRAIN tokens are traded freely on Ethereum or Solana by new members of the growing Paloma flock.
Motivation
With the launch of bull market activity after the USA elections and the 25bps rate current by the Federal Reserve, we wish to communicate to the Paloma Foundation that they may wish to launch the GRAIN token during historical market lows.
However, now that the market sentiment has changed, this vote is proposed to immediately launch the GRAIN token pools on Solana and Ethereum so that users may engage and trade the token. Setting a very low start price will allow GRAIN holders to consider their selling price point, while giving room for new GRAIN buyers to collect the token.
We are motivated to recommend the Paloma Foundation launch the GRAIN token for trading on Solana’s Raydium pools for the following reason:
Technical Specification and Coin launch Testing
Forge testing of the Token Pool specifications using Uniswap V2 token model
Ran 1 test for test/TokenTestsOnSepolia.t.sol:TokenTestsOnSepolia
[PASS] testUniswapAutoLaunch() (gas: 2634030)
Logs:
vX1: 6.5 [6500000000000000000]
threshold: 26.0 [26000000000000000000]
TOKEN: 0xc5d65631d91ceE91097ae4119a5622A551d27d2f
UNI V2 FACTORY: 0xB7f907f7A9eBC822a80BD25E224be42Ce0A698A0
wETH: 0x3fCF4AF978AD403d7b4B4bdadF99220FD2A4cA7A
OptionResolver: 0x5615dEB798BB3E4dFa0139dFa1b3D433Cc23b72f
Token Contract Name: GRAIN TOKEN
Before:
Balances for 0x000000000000000000000000000000cc00220000
wETH: 75.0 [75000000000000000000]
Balances for 0x000000000000000000000000000000cc00220000
$TOKEN: 0.0 [0]
Balances for 0xc5d65631d91ceE91097ae4119a5622A551d27d2f
wETH: 0.0 [0]
DEX: 0x0000000000000000000000000000000000000000
Original price: 49538461.538461538459633136 [49538461538461538459633136]
Reverse price: 0.000000020186335403 [20186335403]
After:
Balances for 0x000000000000000000000000000000cc00220000
wETH: 48.999999999999999999 [48999999999999999999]
Balances for 0x000000000000000000000000000000cc00220000
$TOKEN: 5152000000.0 [5152000000000000000000000000]
DEX: 0x09120d8Ea0A183A9c1397038f41FEe9E2E1939aA
Balances for 0x09120d8Ea0A183A9c1397038f41FEe9E2E1939aA
wETH: 26.000000000000000001 [26000000000000000001]
Balances for 0x09120d8Ea0A183A9c1397038f41FEe9E2E1939aA
$TOKEN: 1288000000.0 [1288000000000000000000000000]
1. UNIV2 Pool price: 0.000000020186335403 [20186335403]
2. liquidity in UNIV2 pool in ETH for MVL (reserve 0) 26.000000000000000001
2. ERC20 Tokens in UNIV2 pool for MVL (reserve 0) 1288000000.0
3. Token price: 0.000000020186335403 [20186335403]
4. Balance of the creator in WETH (0): 48.999999999999999999
5. Balance of the pool providers wallet in TOKENS (1): 5152000000.0
Suite result: ok. 1 passed; 0 failed; 0 skipped; finished in 8.78s (4.25s CPU time)
Ran 1 test suite in 8.78s (8.78s CPU time): 1 tests passed, 0 failed, 0 skipped (1 total tests)
26 ETH = Pooled ETH (reserves 0)
1,288,000,000 = Pooled Tokens (reserves 1)
0.000000020186335403 ETH = uniswap initial price per token
130 ETH = Total MCAP on launch
===========================================
Liquidity Management and Security Overview:
===========================================
1. Replicates the formula and values of the established Pump.fun bonding curve tokenomics model, proven to perform effectively in real market conditions.
2. Ensures a precise and balanced relationship between liquidity and volatility to support sustainable growth.
3. Maintains an optimal liquidity ratio to minimize slippage, reduce susceptibility to significant MEV and sandwich attacks, and provide a stable trading environment.
Ethereum and Solana GRAIN token Bridging
Ethereum Bridge of GRAINS ERC20: Paloma Skyway Bridge
Paloma GRAINs are bridged to the Ethereum Blockchain via Paloma’s native cross-chain bridge, Skyway. The Paloma command will be managed by Compass-EVM. The Paloma Foundation will bridge 1,288,000,000 GRAINs to the Ethereum blockchain or similar L2 such as Base or Arbitrum.
Solana Bridge of GRAINs from EVM: Wormhole Bridge
Paloma GRAINs will be bridged to Solana from Ethereum via the EVM L2. The Paloma Foundation will register the Paloma GRAIN token on the target EVM as the canonical GRAIN token for Wormhole’s contracts on Solana.
We take this path faster than using Paloma’s IBC bridge to Wormhole as there are no protocol changes to Paloma to use Skyway Bridge to the EVM, and we expect GRAINs to return to Paloma’s EVMs for trading.
If tokens return via the Wormhole contract to alternative EVMs, they will not be canonical GRAINs, and users will need to swap them to bridge back to Paloma for staking rewards.
The Signaling Vote Proposal: Pip-111.json
{
"title": "Paloma Foundation to distribute 1 Billion Grains to the Paloma LightNode Sale",
"summary": "Signaling vote to approve the request to transfer 1 Billion GRAINs from the Paloma Foundation addresses paloma17t5pd5l0d8a3p54r0p92src8tx2tvs7l2afmd9 and paloma1vlrsw0hf6ddkje99jtnzh4raaa4dqpwqapeaz6 to Paloma module managing the LightNode Sale",
"type": "Text",
"deposit": "10000000ugrain",
"metadata": "ipfs://QmdxZZV9YLxXnSyDkE2cpzM3gyF1JoNYtxYqZdQsKdLAG4"
}
The Signaling Vote Metadata: Pip-111_metadata.json
{
"title": "PIP-111: Signaling Vote to launch Paloma GRAIN Token on Ethereum Uniswap V2 and Solana Raydium as Memecoin",
"authors": [
"BoweryKing"
],
"summary": "This is a signalling vote to the Paloma Foundation to launch the Paloma GRAIN token on the Ethereum Blockchain as a Uniswap v2 or Raydium Memecoin with 1,288,000,000Billion Grains from the Paloma Foundation Eco system Funds. We also signal the Paloma Foundation to launch the Uniswap v2 (WETH/GRAIN) pool or a Solana Raydium (SOL/GRAIN) pool as a memecoin with at least 10ETH or 150 SOL of liquidity and deploy the pool with a price per token proposed 0.000000020186335403 ETH and an initial pool launch Market CAP of 130 ETH or 1,877 SOL
",
"proposal_forum_url": "https://forum.palomachain.com/c/governance/6",
"vote_option_context": "Vote YES to support the vote to launch GRAIN token with Memecoin Pool design"
}
The Signaling Vote CLI Command
palomad tx gov submit proposal
–deposit 10000000ugrain
–fees 400ugrain
–gas auto
–node=https://rpc-1.paloma.nodes.guru/
–chain-id tumbler
–from
-y
How to Vote on Proposals 145
**Paloma Client:**
palomad tx gov vote 145 yes \
--chain-id tumbler \
--from <Your Paloma Address> \
--fees 400ugrain \
--node <Your node> \
-y
**Paloma LightNode Users of V2 Only:**
1. Windows
docker run --rm --pull=always -ti -v $env:USERPROFILE\paloma-lightnode\.paloma:/root/.paloma palomachain/lightnode-client:v2 vote-proposal 145 yes
1. Mac, Linux & VPS
sh $HOME/Downloads/setup.sh vote-proposal 145 yes
Rationals
After nearly two years at mainnet, we think it’s possibly the best time to launch the GRAIN token for trading. LightNode holders and Paloma community members want the GRAIN token to launch during this bitcoin bull market window. This proposal aims to respect the community desire for a launch, but to launch at a very low valuation that will find immediate buyers and a market price that will grow the community with more GRAIN holders.
Paloma wants to be the fastest relay chain in the world with the most decentralized network of validators that can attest to any transaction with the fastest possible execution. Paloma aims to make it easy for developers to control smart contracts on any Solana, Ethereum L1, L2, and L3 chain.
To learn more about Paloma, please visit https://palomachain.com
To follow the project on Github, please star the project GitHub - palomachain/paloma: The fast blockchain messenger protocol
To participate in the community, please join the Paloma Discord: Paloma