Launching Your Token
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Launching a token is a strictly optional additional step that comes after creating a profile. Once you've created a normal account on focus.xyz by going through the onboarding flow, you can use Focus like an ordinary social network (but where everything is stored on-chain and powered by crypto), or you can additionally launch a token.
Below are the simple steps to launch a token on Focus, noting that anyone can do it with just a few clicks:
Create a Focus Profile. The first step is simply to create a profile on focus.xyz. After onboarding, set up your on-chain profile pic, set up your on-chain description, and make some posts.
Configuring Your Token. After you have a profile, it's time to go through the Focus Token Launcher and set up your token's AMM (as well as its other properties). You do this by going to the Trade page of the Focus app and hitting "Launch Token." There you can choose a "category" for your token, and set up all the variables. Note: We highly recommend you go through the Token Launcher with a test account prior to doing it with your desired account, just to see how you like the default settings.
One-click token launch. We will discuss some of the AMM's key properties in the next section. But note that, if you want, you can just go with all the defaults without configuring anything at all in just a few clicks!
Preview and Launch! Once you've set the parameters you want, simply hit "Launch My Token" and you're off to the races! There will be a pre-sale auction period, which we'll talk about in another section, and then after that your AMM will be up and running.
Launch as many tokens as you want. Each profile you create can launch a single token, but you can launch as many tokens as you want using the same wallet, and even the same seed phrase, simply by hitting "Add Account" in the wallet and setting up a new profile.
We could go through all of the different variables you can configure here. But they are well-explained in the app itself, so we will simply copy the descriptions of all the optional parameters below. In addition, we'll include a quick example of a token configuration below, walking through some of the more basic parameters. In addition, you can play with some of the basic parameters using our AMM Playground Spreadsheet (just hit "Make a Copy" so you can edit your own version).
Consider a token that has a Start Price of $0.001, an Order Spacing of 10%, an Amount Per Level USD of $1, and an Amount Increase Per Level of 10%. This means that there will be one sell order placed on the book at $0.001 for 1,000 tokens, another at $0.0011 for 1,000 tokens ($1.1 in tokens), another at 0.00121 for 1,000 tokens ($1.21 in tokens), and so on. The trickiest parameter here is "Amount Increase Per Level," which simply indicates that the amount at each level should increase in USD terms, which results in a constant number of tokens at each level.
Personally, when setting up a token, I like to either use the default parameters, or break out the AMM Playground to play with custom configs. Note that it doesn't have all the parameters in there but you can easily add them.
If we didn't have any other parameters, then the AMM's sell orders would go until infinity (causing infinite sell pressure). This is why we have a "Final Price USD" set to $10 by default. This means that you'll have a ladder of orders going all the way up to $10 following the rules outlined in the previous bullet. This ends up creating about $100k of sell liquidity, but you can configure the AMM to do more or less depending on your token's needs (again, the AMM Playground helps to play with this!).
We're going to discuss the "Auction Duration" in the next section, but it just creates a time in between when people can place bid orders on your token's market and when the AMM drops its sell orders on the book. This is useful because it gives people time to discover your token and place a bid order that the AMM will immediately hit once it comes online.
After your token's AMM is live, it's important to understand what happens when people execute against its sell orders. The AMM does not just place sell orders on the book and leave them there. Instead, it actively manages your market by "flipping" every sell order into a bid when it gets hit, and vice versa when subsequent bids get hit. Why does it do this? It's because, again, we are mimicking the positive properties of a "bonding curve." If someone were to buy a large amount of your coin, the AMM gives them the confidence that they'll be able to sell it for some value in the future. Eventually, when a market becomes mature and third-party buyers show up to buy your coin, the AMM's bids are no longer needed. But, early on, nobody would want to buy your coin if not for the AMM providing buy-side liquidity in addition to sell-side liquidity!
Note the preview at the end tells you useful things, like how much total sell liquidity is in your token, how many orders it's going to place and manage, etc....
There are other fun options like choosing a different quote currency or setting a "terminal price." But if you understand the previous two bullets, and you understand that it will result in SELL orders for your token placed on the book that mimic a bonding curve, then you know everything you need to start creating bespoke AMMs for your tokens!
