$HAT Liquidity Bootstrapping Pool Launch with Fjord Foundry
We’re approaching a significant milestone in the Hats Finance journey — $HAT token launch!
In one week from now, our community will have the opportunity to acquire $HAT: the governance token that aligns the interests of audit customers, security researchers, and Hats Finance community to drive the future of DeSec — Check out everything you need to know about the $HAT and its utility in our latest blog article.
We’ve chosen to do our public sale via Liquidity Bootstrapping Pools (LBPs), as it offers a unique opportunity for projects to launch their tokens fairly and transparently, allowing retail investors to contribute to fair price discovery.
To make this happen we’ve partnered with Fjord Foundry, a community-focused platform that specializes in connecting innovative projects with engaged backers, which connects perfectly with our community-driven decentralized vision.
What’s Special About LBPs?
An LBP is a battle-tested approach to token launches that has helped projects raise nearly $100 million in the last 6 months on Fjord Foundry alone. It operates on a high-to-low pricing mechanism, similar to a Dutch Auction, mitigating the influence of sniper bots and whale manipulation.
LBPs enable participants to engage in community-driven price discovery, buying tokens at a price point they find equitable. Users can contribute to the pool or exit their position throughout the pool’s opening period — no whitelisting, no KYC, no waiting period.
At Hats Finance, we’re committed to being as sufficiently decentralized as possible. That’s why we’ve decided to go for an LBP launch where community users are the only force that moves the price, ensuring a fair and transparent launch.
With an LBP launch, everything happens on-chain so that transactions can be tracked and monitored for the whole launch duration. This approach empowers the community and contributes to a more equitable distribution of $HAT tokens.
Now that you know the magic behind LBPs, let’s delve into the details of $HAT launch:
$HAT LBP Launch
Users will have 3 days to contribute to the pool in return for the $HAT tokens — Mark your calendars for next week!
- Start Date: July 22nd, 2024, at 15:00 UTC
- End Date: July 25th, 2024, at 15:00 UTC
- Where: Fjord Foundry
- Network: Arbitrum
- Available Supply: Up to 4,000,000 tokens (4% of the total supply)
- Vesting: None
We have been verified and curated by Nova Research, an official Fjord Foundry curator known for handling the two biggest launches last month.
The liquidity pool for $HAT will be on the Arbitrum network, with an initial weight of 99:1. This sets the initial price of $HAT at $1.5 and the fully diluted market capitalization at $150 million. The total supply available for sale is 4 million $HAT tokens (4% of the Total Supply).
Although the initial price is set at a high level, the LBP’s pricing mechanism ensures that the price will decrease over time unless there are active purchases. Therefore, the final price of $HAT will be determined by market demand throughout the LBP opening window.
Remember: you can contribute to the pool at any moment, but also sell your newly bought $HAT tokens as long as the LBP is still open. This mechanism allows the market to effectively price the tokens, correcting the price whenever it gets too low or too high and ensuring a fair and balanced price discovery process.
If you wish to participate, do so at a price point where you feel confident about the valuation!
How to buy $HAT on Fjord Foundry?
We’ve prepared a step-by-step guide below to help you participate in our LBP, especially if you’re not familiar with the process. Follow these steps, and you’ll be able to get your $HAT tokens with just a few clicks!
Set Up Your Wallet
If this is your first time participating in an LBP on Fjord Foundry, you need to set up an EVM-compatible wallet. The platform supports most of the popular wallets such as MetaMask, Wallet Connect, or Coinbase Wallet.
Fund Your Wallet
Fjord Foundry now allows users to contribute with any supported tokens on any chain. Ensure your wallet is funded with the desired tokens you’d like to use for the contribution. However, keep in mind that the final settlement of the $HAT tokens will occur on the Arbitrum Mainnet. It is advisable to have some ETH (a.k.a. AETH or Arb ETH) on Arbitrum, as redeeming the tokens will require ETH for transaction fees.
Connect Your Wallet
Once your wallet is funded, visit Fjord Foundry, click ‘Connect Wallet’ in the top right corner, and select your wallet.
Note: Hats Finance or Fjord Foundry will never ask for your private key or seed phrase.
Check the Hats Finance LBP
Head over to the Fjord Foundry LBPs dashboard, select the Hats Finance sale event, check the current price of $HAT, and review the sale details in the overview section.
Purchase $HAT
If you’re using ETH on Ethereum, approve the ETH usage in the first transaction and proceed to execute the buy — but only when you feel the fair price has been hit!
For cross-chain swaps, additional transactions may be required, such as swapping or bridging — if that’s the case, follow the on-screen instructions provided by the Fjord Foundry platform. After a successful transaction, your $HAT balance will be visible under the ‘History’ tab of the event and also in the swap window.
If you can’t immediately see the tokens in your wallet, read the Fjord Foundry FAQs to understand why they may not be showing.
Redeem Your Tokens Post-LBP
At the end of the LBP, you must redeem your tokens. Use the redeem function to transfer the tokens directly to your wallet. Since $HAT tokens are on the Ethereum Mainnet, you will need some ETH to pay the transaction fee for the claiming activity.
And that’s all — by following these steps, you can participate in the Hats LBP token launch effectively and securely!
Important Note: Always do your own research (DYOR) before allocating your personal funds to any investment. Ensure you understand the risks involved and are comfortable with your investment decisions.
Stay connected with our community for the latest updates and join our channels for any questions!
