the pool lifecycle: from spark to supernova
how pools evolve
each content pool on postfun goes through different levels as it gains trading volume. each level brings benefits to participants and exciting events that affect the token price. this progression system creates a structured path for content pools while providing clear milestones and rewards that encourage continued participation and investment.
the level-based progression serves multiple purposes in the postfun ecosystem:
- it creates predictable events that generate trading activity
- it rewards early participants with progressively better fee structures
- it builds anticipation and community engagement as pools approach new levels
- it ensures that the most successful content contributes more significantly to platform growth
the progression from one level to the next is entirely dependent on the pool's real trading volume, measured in satoshis that flow through the bonding curve. this creates a pure merit-based system where only the most actively traded content advances to higher levels.
as pools progress through levels, they become more attractive to different types of participants:
- early levels appeal to risk-tolerant traders seeking high potential returns
- later levels attract more conservative investors looking for established assets
- the graduation event draws attention from the entire community and external observers
the level progression also affects the economic dynamics of each pool. trading fees decrease at each level, making mature pools more cost-effective for regular trading. simultaneously, the token burn events create artificial scarcity that can drive price appreciation for remaining token holders.
level 1: spark
the spark level represents the beginning of every content pool's journey. as the starting level for all new pools, it sets the foundation for everything that follows while establishing the initial market dynamics that will determine the pool's ultimate success.
at level 1, content pools are in their most experimental phase. they represent pure speculation on the future value of specific content, with prices driven primarily by early adopters' assessments of potential rather than proven track records.
starting level for all new pools every content pool begins at level 1 immediately after minting. this creates a level playing field where all new content starts with the same basic parameters, regardless of the creator's influence or the content's initial popularity.
trading fee is 10% the 10% trading fee at level 1 serves several important functions:
- it generates revenue for the platform during the experimental phase
- it acts as a natural barrier to excessive trading that might not be economically rational
- it provides substantial rewards for creators and minters who take early risks
- it helps fund the eventual token burn events through fee accumulation
this relatively high fee structure reflects the experimental nature of level 1 pools and the risks associated with early participation.
goal: reach 1,000,000 sats in trading volume the first milestone requires pools to accumulate 1,000,000 sats in trading volume. this target is carefully calibrated to:
- be achievable for pools with moderate interest
- filter out content that fails to generate meaningful engagement
- provide sufficient data to assess the pool's potential for further growth
reaching this milestone represents the first major validation of a content pool's value proposition. it demonstrates that enough traders have found the content compelling enough to move significant value through the market.
the journey to 1,000,000 sats often reveals important information about a pool's prospects:
- pools that reach this milestone quickly suggest strong initial interest
- pools that struggle may indicate content with limited appeal or poor timing
- trading patterns during this phase can hint at future volatility and price movements
level 2: bonfire
reaching level 2 marks a significant milestone in a content pool's development. at 1,000,000 sats in trading volume, the pool has demonstrated enough merit to warrant reduced fees and the first major token burn event.
reached at 1,000,000 sats this milestone represents a transition from experimental to established status. pools that reach level 2 have proven they can sustain trading activity over time and have attracted enough interest to justify continued investment and development.
the move to 1,000,000 sats as a threshold reflects postfun's commitment to quality. only content pools that demonstrate genuine market interest advance to this stage, ensuring that the benefits of level 2 are reserved for pools with proven potential.
the culling: 50,000,000 tokens are burned, increasing the price! the first major token burn event, known as "the culling," represents one of postfun's most innovative features. by permanently removing 50,000,000 tokens from circulation, the system creates artificial scarcity that can drive significant price appreciation.
this burn event works through the cpmm (constant product market maker) mechanism:
- with fewer tokens in circulation, each remaining token represents a larger share of the pool's value
- the reduced supply, combined with sustained or increased demand, naturally pushes prices higher
- early holders benefit from this price appreciation, rewarding their early participation
the culling event typically generates significant excitement and trading activity as participants anticipate and react to the price movements it creates. this increased activity often helps pools progress more quickly toward the next level.
trading fee drops to 5% reducing fees to 5% at level 2 acknowledges the pool's transition to established status while maintaining incentives for continued platform development. this fee structure:
- makes the pool more attractive to regular traders
- reduces the cost of market making and liquidity provision
- maintains substantial rewards for creators and minters
- provides adequate revenue for platform operations
the fee reduction also reflects the decreased risk associated with level 2 pools compared to their level 1 counterparts.
goal: reach 10,000,000 sats the level 2 goal of 10,000,000 sats represents a tenfold increase from the previous milestone. this ambitious target:
- filters for content pools with exceptional long-term potential
- requires sustained community interest and engagement
- justifies the significant benefits of the next level progression
reaching this milestone typically indicates that a content pool has achieved genuine cultural significance within the postfun community and potentially beyond.
level 3: inferno
level 3 represents the elite tier of postfun content pools. reaching 10,000,000 sats in trading volume places pools in an exclusive category that attracts serious investors and generates significant attention throughout the cryptocurrency community.
reached at 10,000,000 sats achieving level 3 status is a remarkable accomplishment that signifies true market validation. pools at this level have demonstrated:
- sustained interest over extended periods
- resilience through market volatility
- broad appeal across different trader segments
- cultural significance that extends beyond the postfun platform
the journey to 10,000,000 sats often spans weeks or months, requiring consistent engagement from a dedicated community of traders and investors.
bigger event: 100,000,000 more tokens are burned! the level 3 token burn event doubles the previous burn in absolute terms, removing 100,000,000 tokens from circulation. this massive burn creates even more dramatic price movements and generates intense excitement throughout the postfun community.
the combined effect of multiple burn events becomes increasingly powerful:
- tokens that survived the level 2 culling become even more valuable
- the reduced supply creates stronger price support
- remaining holders benefit from accelerated appreciation potential
- the event attracts attention from traders who may have missed earlier opportunities
this burn event often coincides with peak trading activity as participants attempt to capitalize on the anticipated price movements.
trading fee drops to 3% the reduction to 3% trading fees at level 3 reflects the premium status of these elite pools. this fee structure:
- positions level 3 pools as among the most cost-effective trading venues on postfun
- attracts high-volume traders and market makers
- maintains meaningful rewards for creators and minters
- supports the platform's ongoing development with substantial revenue
the low fee environment at level 3 makes these pools attractive for sophisticated trading strategies that might be unprofitable at higher fee levels.
goal: reach 100,000,000 sats (1 btc) the final milestone of 100,000,000 sats (1 btc) represents the ultimate achievement for any postfun content pool. reaching this goal:
- places the pool in truly exclusive company
- triggers the most significant events in the postfun ecosystem
- demonstrates unprecedented cultural and financial significance
- creates lasting value that extends beyond the platform
achieving graduation status requires extraordinary community commitment and represents one of the most difficult accomplishments in the entire postfun system.
level 4: graduation
the endgame! reached at 1 btc in trading volume. graduation represents the pinnacle of achievement for any content pool and triggers the most significant events in the postfun ecosystem.
graduation is more than just another level progression - it represents the transformation of a content pool from an experimental social finance instrument into a permanent fixture of the decentralized financial landscape. pools that reach this status have achieved genuine cultural and financial significance that extends far beyond the postfun platform.
the supernova a final, massive burn of 150,000,000 tokens. the supernova event represents the culmination of postfun's token burn philosophy, removing the largest single batch of tokens from circulation in a dramatic finale that often generates extreme price volatility and intense trading activity.
the supernova burn serves multiple purposes:
- it creates maximum price appreciation for remaining token holders
- it generates significant attention from the broader cryptocurrency community
- it provides a memorable conclusion to the pool's progression journey
- it ensures that the final distribution represents true market value
the timing and impact of the supernova event often become topics of intense discussion and speculation within the postfun community, with traders developing complex strategies to maximize their returns during this critical period.
the payout the 1 btc is distributed as follows:
- platform treasury: 40%
- minter: 10%
- creator: 5%
- remaining 45%: used to create a permanent, publicly tradable market
this distribution reflects postfun's commitment to balanced incentives across all participant types:
- the platform receives substantial rewards for facilitating the pool's success
- the minter is rewarded for their early vision and risk-taking
- the creator benefits from the long-term cultural significance of their content
- the remaining tokens ensure continued market liquidity and accessibility
the 40% platform treasury allocation is particularly significant, as it funds ongoing development, security improvements, and community initiatives that benefit the entire postfun ecosystem.
the dex listing the remaining 45% of the btc and all remaining tokens are used to create a permanent, publicly tradable market on a decentralized exchange. this represents the final evolution of successful content pools from experimental social finance instruments to established assets in the broader decentralized finance ecosystem.
the dex listing provides several important benefits:
- it ensures continued liquidity and price discovery beyond postfun
- it allows the pool to participate in broader cryptocurrency market movements
- it creates a permanent record of the content's cultural and financial significance
- it provides an additional trading venue for interested participants
the transition to a decentralized exchange also represents a shift from postfun's curated environment to the completely open markets of decentralized finance, where the pool must compete directly with thousands of other assets for trader attention and liquidity.
this final stage ensures that the most successful content pools achieve lasting significance that extends far beyond their initial social media origins, creating permanent financial instruments that capture and preserve cultural moments of genuine importance.