> ## Documentation Index
> Fetch the complete documentation index at: https://docs.x402layer.cc/llms.txt
> Use this file to discover all available pages before exploring further.

# Token Launch

> How community tokens are created and launched automatically when a campaign reaches its funding target or clears the expiry threshold

# Token Launch

When a campaign reaches its USDC funding target, the platform automatically launches a community token via the [Bags.fm](https://bags.fm) API. If a campaign expires after raising at least 25% of target, the same launch flow is triggered automatically using the collected funds. This is a fully automated process — no manual action is needed from the campaign creator or contributors.

## Prerequisites

Before a token can launch:

* Campaign status must be `funded` (target amount reached)
* The campaign must have at least one image (used as the token logo)
* A token ticker should be set (falls back to the campaign slug if not provided)

## The 5-Step Launch Process

<Steps>
  <Step title="Create Token Info">
    The platform registers the token with Bags.fm using the campaign's title as the token name, the `token_ticker` as the symbol, the first campaign image as the logo, and the campaign's X handle (if provided).

    The Bags API returns a `tokenMint` address (the Solana SPL token mint) and metadata URL.
  </Step>

  <Step title="Configure Fee-Sharing">
    A fee-share configuration is created on-chain that maps each eligible contributor's wallet to their proportional share of trading fees (measured in basis points out of 10,000).

    See [Fee Distribution](/fundraisers/fee-distribution) for details on how shares are calculated.
  </Step>

  <Step title="Create Launch Transaction">
    The platform requests a launch transaction from the Bags API. This transaction deploys the token on the bonding curve with zero initial buy (no insider allocation).
  </Step>

  <Step title="Sign Transaction">
    The platform's escrow wallet signs the launch transaction. This is the wallet that held the campaign's USDC contributions.
  </Step>

  <Step title="Broadcast">
    The signed transaction is submitted to the Solana network. The platform first attempts to broadcast via the Bags API, then falls back to a direct Solana RPC submission if needed.
  </Step>
</Steps>

## After Launch

Once the token is live:

* Campaign status transitions to `launched`
* The token mint address is stored in the campaign record
* Trading fee revenue begins flowing to the configured fee-share recipients
* The campaign page displays the token information and a link to trade

## Token Ticker Rules

| Rule            | Detail                                            |
| --------------- | ------------------------------------------------- |
| Length          | 2–10 characters                                   |
| Characters      | Uppercase letters and numbers only (`A-Z`, `0-9`) |
| Auto-formatting | Lowercase input is automatically uppercased       |

If no ticker is provided, the platform derives one from the campaign slug.

## Fee Tier Options

When creating a campaign, you can select a trading fee tier that determines how much of each trade's value is collected as fees and distributed to fee-share holders:

| Tier                       | Fee Rate   | Description                                                           |
| -------------------------- | ---------- | --------------------------------------------------------------------- |
| **Default**                | 2%         | Balanced fee rate suitable for most campaigns                         |
| **Low Early / High Later** | 0.25% → 1% | Lower fees during the bonding curve phase, higher after DEX migration |
| **High Early / Low Later** | 1% → 0.25% | Higher fees during the bonding curve phase, lower after DEX migration |
| **High Flat**              | 10%        | Maximum fee rate — maximizes fee-share revenue                        |

<Note>
  The fee tier is set at campaign creation and cannot be changed after the token launches.
</Note>

## Failure Handling

If any step in the launch process fails:

* Campaign status transitions to `launch_failed`
* Error details are recorded in the campaign metadata
* If the campaign expires below 25% of target, refunds are triggered instead of launch
* If the campaign expires at or above 25% of target, launch still proceeds and the collected USDC is disbursed to the creator wallet
* The platform team can investigate and retry the launch if appropriate

## Idempotent Retries

The launch process stores intermediate state after each step. If a failure occurs mid-process, the system can resume from where it left off without duplicating work — token info isn't re-created if it was already registered, and fee-share configuration isn't re-submitted if it was already set up on-chain.