Graduation (Launchpad)

What Is Graduation?

Graduation refers to the moment a token's bonding curve phase ends and its liquidity transitions to a decentralized exchange. On platforms like Pump.fun, graduation occurs when approximately 85 SOL (roughly $10,000-$15,000 depending on SOL price) has been collected through the bonding curve. At this point, the bonding curve contract freezes, and the accumulated SOL plus a matching allocation of tokens are deposited into a Raydium AMM pool.

Graduation is a critical milestone because it marks the token's transition from a closed-curve market to the broader DeFi ecosystem. Post-graduation, the token appears on analytics platforms like DexScreener and becomes accessible to the wider trading community.

What Happens at Graduation

The graduation process is automated by the launch platform's smart contract. When the threshold is reached, the contract executes several steps: it locks the bonding curve to prevent further direct purchases, transfers the collected base currency and corresponding tokens to a DEX router, and creates a new liquidity pool. On Pump.fun, this pool is created on Raydium with the liquidity provider tokens burned, meaning the initial liquidity is permanently locked.

The initial pool price at graduation typically matches the final bonding curve price, ensuring continuity for holders. However, the transition to an open market means the price can now move in either direction based on broader supply and demand.

Post-Graduation Strategy

Graduation is where many tokens fail. Without continued buying pressure, the initial post-graduation period often sees a sell-off as early bonding curve buyers take profits. Successful projects maintain momentum through community engagement, social media marketing, and volume generation. OpenLiquid's volume bot and market-making tools are commonly deployed immediately after graduation to sustain trading activity and prevent the price from collapsing during this critical window.