AlienFi’s decision to skip Fair Launch mode

02/26/2023 02:17 • Digital Disruptors • 98 views

On February 26, it was reported that the Arbitrum ecological DEX AlienFi announced that it would not launch the project through the Fair Launch mode, and pointed out that this mode was just a money printing machine for DEX and the project, and any fund-raising project did not need to start with millions of dollars. The project Token launched through this mode would face extreme selling pressure. AlienFi will release its first Launchpad announcement later this week, and the project Token will be launched in Overflow mode until its developed Tier System is ready.

Arbitrum Ecological DEX AlienFi will release the first Launchpad project announcement

Analysis based on this information:

AlienFi, an ecological decentralized exchange (DEX), has announced that it will not be launching its token project through the Fair Launch mode. This news comes amidst the hype around Fair Launches, a fundraising model that has gained immense popularity among crypto enthusiasts. The concept of Fair Launches is simple – everyone gets an equal opportunity to buy tokens at the same price, with no pre-sales or private sales. However, some critics argue that Fair Launches have now become a money printing machine for DEXs and new projects.

According to reports, AlienFi has taken this step because it believes that the Fair Launch model only encourages early buyers to sell their tokens immediately, leading to extreme selling pressure. This eventually results in the price of the token falling sharply, causing significant losses to new investors. By contrast, AlienFi believes that fundraising projects do not need to begin with millions of dollars or a Fair Launch that can eventually harm the project’s growth.

Interestingly, instead of following the Fair Launch model, AlienFi will release its first Launchpad announcement later this week. The project Token will be launched in the Overflow mode until the developed Tier System is ready. The Overflow model is another fundraising model that distributes tokens in a more balanced and fair way by setting limits on the number of tokens each investor can purchase. It helps to prevent over-investing by large investors, making it more inclusive for smaller investors to have a chance to invest in the project.

Therefore, AlienFi may have made the right decision by skipping the Fair Launch model because it believes in creating a more inclusive investment ecosystem. The Overflow fundraising model could help resist the selling pressure that arises from Fair Launches. It seems that the success of any fundraising model depends on how the project owners design the model, and it’s still a learning curve for the crypto investors and companies.

In conclusion, this news is an excellent reminder to the crypto community that there are other models of fundraising that may be better than the widely popularized Fair Launches. It also emphasizes the importance of careful consideration of the fundraising model by project owners to avoid possible risks and harms to the project’s growth.

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AlienFi’s decision to skip Fair Launch mode

Arbitrum Ecological DEX AlienFi will release the first Launchpad project announcement

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