• Bonding curve modes as state configuration:

Maturity Stages of PAMMs:

• Hatch phase - initial buy in
• Supply discovery phase - early purchases expand token supply to necessary levels
• Maturation phase - sufficiently deep secondary market liquidity to allow PAMM to be “turned off” & arb bot manages primary-secondary balancing
• “Support” phase? “Overheated” phase?
• Wind down/graceful shutdown - pro rata payout of all remaining reserves to all token holders

<aside> 💡 PAMM MATURATION phases:

• Hatch phase
  • funds initialization from cap/contributor table
• Supply discovery (Vesting or Bootstrapping) phase
  • no initial tokens (beyond vested hatch) requires a period for ‘supply discovery’, including dynamics of token thaw period & initial liquidity bootstrapping
  • TEC Started with high entry & low exit tax, moving to low entry and high exit tax as CMM matures
• Mature phase
  • maturing trading volume & secondary market depth
• Passive phase?
  • PAMM off except as buyer of last resort (sell side buoyancy remains)
  • Market depth and revenue needed before turning CMM passive (would remove entry fees & arb as continuous income) </aside>

**Lifecycle of a PAMM’s

Initialization/Hatch Phase**

• The initialization phase is the first stage of a PAMM, where the beneficiary organization sets a minimal funding goal (MFG) for the bonding curve.
• The MFG is the minimum amount of investment required for the bonding curve to start. Before the MFG is reached, the bonding curve is not in effect, and investors receive tokens at the same average price.
• Investors can participate in by investing in the project using the buy() function of the smart contract.
• The buy() function allows investors to purchase tokens in exchange for any cryptocurrency of choice.
• The price of tokens recieved during the initialization phase is set by the beneficiary organization and remains the same until the MFG is reached..
• Investors who participate in the initialization phase can also receive various bonuses such as early bird bonuses or referral bonuses.
• Once the MFG is reached, the bonding curve comes into play, and the minting price starts to chnage as determined by the price function & amount of investment .