Public Auction

Vision

Historically, projects conducted initial token distribution through centralized auctions, DEX offerings, and fixed-cost sales which were unfair by limiting participation due to geo-location, being vulnerable to front-running bots, sybil attacks, multi-account registration, and unclear price discovery. Private sales and venture capital limited the ability of the general public from being able to access tokens from day zero by distributing large amounts of tokens at a low price, which gives advantage to the private parties and well-connected participants. It also hurts project founders who are strapped for resources at the early stages of their entrepreneurial journey and don’t have a sophisticated network to get access to initial capital. It’s the community that drives project distribution and success, so we believe it should be trivial to enable its participation from the very beginning.

Goal

LOOPStarter goal is to provide mechanisms for initial price discovery and token distribution through a streaming time-based auctions that are accessible to the general public in a decentralized way, while being resistant to front-running, price manipulations, and sybil attacks.

Public Auction

LOOPStarter is a decentralized platform built initially on BSC and then expanded to Multi-chain bridges, allowing distribution of tokens through auction. When LOOPStarter issues LOOPS tokens, the community can participate and get revenue from it.

LOOPStarter will be the first, and only launch platform that works with DAOs supports multi-chain, and offers two forms of IDO sales in parallel. As we mentioned above, the first form of IDO sale has a level of fairness and guaranteed distribution for LOOPS token holders. The following form of IDO sale to be implemented will be an auction.

LOOPStarter-Auction will be a fairness system launch where no investor is left behind. There is no required staking, launchpad token purchase, or lotto required to participate. Can’t be front run by bots. The sale model is sybil resistant. And bots don’t have advantage due to time-based sales. Project owners will have more choices in bringing their projects to investors.

What makes the auction LOOPStarter different from other Launchpads:

• Can’t be front run by bots. The sale model is sybil resistant. And bots don’t have advantage due to time-based sales.

• LOOPStarter's auction mechanism prevents price manipulation schemes ("pumping and dumping") because LOOPStarter does not allow you to resell tokens in the same pool instantly, and the price is determined dynamically according to demand.

• LOOPStarter does not require you to own any tokens to participate in the auction as a seller or a buyer. You only need to have the tokens needed for the project to exchange when participating in the auction ($LOOPS, $BUSD, $USDT...).

• There is no need to provide liquidity before making an auction. Tokens will be distributed after a successful auction.

How to Participate:

• Generate the necessary wallet address as required by the project.

• Prepare a stablecoin or token that the project requires you to own first to participate in the auction. For exemple: LOOPS, USDT, BNB, BUSD,..

• Connect your wallet on the LOOPStarter website once the countdown timer has become active

How it Works:

The IDO consists of two consecutive 24 hour phases:

• Sale period: Stablecoin may be deposited or withdrawn from the pool. IDO token price will fluctuate based on the size of the pool. Note that the prices shown now do not represent the price you entered or the final price of the IDO sale. It doesn't matter whether you come first or come later; there is no price advantage.

• Grace period: Stablecoin may only be withdrawn from the pool. IDO token price will only go down in this phase. Based on the IDO token price displayed on the sale page, the buyer has the right to continue participating or withdrawing. The IDO token price will decrease proportionally when someone leaves according to the amount withdrawn. Note that during this period, if you withdraw, you will not be able to return.

• Afterwards, depositors can redeem an amount of IDO tokens proportional to their share of the pool.

For Example Timeline:

• Day 1 @ 2:00pm UTC: Sale period (deposit and withdrawals)

• Day 2 @ 2:00pm UTC: Grace period (withdrawal only)

• Day 3 @ 2:00am UTC: IDO ends

@ 3:00am UTC: Tokens redeemable

For Example:

For ease of understanding, I will use the LOOPS token sale as an example as a buyer. This structure will apply to all other sales auctions on LOOPStarter Launchpad:

You are someone who wants to buy $LOOPS. For example, you deposit 100 $ USDT into the contract for the sale before the start of the auction.

Depending on demand, you will see the expected swap rate for the $USDT / $LOOPS pair change.

For example, the initially expected rate of the sale would be 1$LOOPS = 0.02$ USDT.

• Sale period: USDT can be deposited or withdrawn from the pool. The $LOOPS token price will fluctuate based on the size of the pool. For example, due to the excellent market participation demand, the LOOPS token price was pushed to $ 0.06 USDT. At this time, the temporary price of LOOPS will be $0.06 USDT. And the Sale period ends.

• Grace period: USDT can only be withdrawn from the pool. The LOOPS token price will only decrease during this period. Some people felt the $0.06 USDT price of the LOOPS token was too high, so they withdrew, at which point the LOOPS price dropped to $0.052 USDT at the time the Grace period ended. This is called an “public auction”.

After the auction starts, your deposited $USDT will automatically change to $LOOPS with the final price of $0.052 USDT. And you can instantly claim the $LOOPS you received by clicking “Withdraw”.

User Flow