How meme coin launchpads work (and how they make money)
7 min read · Updated October 6, 2026
Every meme coin launchpad, from pump.fun to sasa, runs on the same basic machinery. Once you understand it, you can read any new coin in seconds and know what you are actually buying.
Step 1: creating the coin
The creator enters a name, ticker and picture. The launchpad's contract mints a fixed supply, typically a billion coins, with no owner and no way to mint more. Most of the supply goes into the bonding curve; the rest is reserved for the pool at graduation.
Step 2: the bonding curve
Instead of a pool that someone has to fund, the curve itself sells coins. The price is set by a formula: each buy makes the next coin a bit more expensive, each sell makes it cheaper. That's why early buyers pay least. Try it yourself in the bonding curve simulator or read what is a bonding curve.
Step 3: graduation
When the curve has raised its target, trading on the curve stops. The money raised and the reserved coins are put into a DEX pool, and the liquidity is locked or burned so nobody can pull it. From then on the coin trades like any other token. On sasa, a coin that launched on several chains graduates on the chain that raised the most, and holders on the other chains have their coins moved over automatically. Graduation explained.
How launchpads make money
- A fee on each trade on the curve, often around 1%.
- Sometimes a fee at graduation.
- Sometimes a share of trading fees after graduation, if the launchpad runs its own pools.
- Optional paid features such as promoted placements.
Many launchpads give part of the fee to the coin's creator, which rewards people for launching coins that actually trade. See earning from trading fees.
What this means for you
- As a buyer: the earlier you buy on the curve, the cheaper, but most coins never graduate. Check holders and first buyers before buying.
- As a creator: your coin needs real buyers to reach graduation. A fair start, a small dev buy and a creator lock all help.
- As a trader: graduation often brings a burst of volume. The almost graduating lists show coins close to the line.
Questions
How does a meme coin launchpad work?
It creates a coin with a fixed supply, sells it through a bonding curve whose price rises with every buy, and moves it to a DEX pool with locked liquidity when the curve's target is reached.
How do meme coin launchpads make money?
Mostly from a small fee on each trade, sometimes from a graduation fee or pool fees, part of which is often shared with the coin's creator.
What happens when a meme coin graduates?
Trading on the curve stops and the raised money plus reserved coins become a DEX pool, usually with liquidity locked forever.