Today, we’re excited to announce the weight tier system for the PolkaEx platform which will be used for the IDO launchpad. The PolkaEx Launchpad tier system is a two-round system that gives every tier level a guaranteed allocation. Becoming a part of the PolkaEx ecosystem is simple due to our straightforward tiering system. The system is designed to incentivize and reward all token holders in a way that is inclusive and that has a low entry barrier. There is no luck, and no lotteries, no bots, and only fair distribution for all participants.
Weight Tier System (Round 1)
After half a month of consideration and community feedback, we decided to adopt a weighted tier system to allow anyone to participate in IDO that stakes a minimum of 1000 PKEX. The weighted system has proved to be very successful and is already used by most major Launchpads. Our model is divided into 5 tiers: Tier 1 -PolkaExbasic, Tier 2 -PolkaExer, Tier 3 -PolkaExist, Tier 4 -PolkaExian, Tier 5 -PolkaExsaver.
Users will then be classified into tiers based on the number of $PKEX tokens staked, which will give allocations according below tier structure:👇👇
Example Token Breakdown
Let’s imagine an example project called ABC Token is carrying out IDO on PolkaEx Launchpad. For simplicity, let’s say it is selling 200,000 tokens at $1 each. By the deadline, there are:
🔹 100 PolkaExbasic members
🔹 200 PolkaExer members
🔹 100 PolkaExist members
🔹 20 PolkaExian members
🔹 8 PolkaExsaver members
Then how do we proceed to allocate tokens among tiers and users?
1. Find out total weight, which equals to:
100*5+200*20+100*60+20*200+8*400 = 17,700 weights
It means that for this particular IDO, investors in all four tiers earn a total of 17,700 weights, which is determined by the number of investors in tier and the tier weight.
2. Token allocation for each weight, which equals to:
200,000 tokens / 17,700 weights = 11. 30token per weight.
3. Tokens allocated to each tier, which equals to:
PolkaExbasic: 100 * 5 * 11. 30= 5,650 tokens
PolkaExer: 200 * 20 * 11. 30 = 45,198 tokens
PolkaExist: 100 * 60 * 11. 30 = 67,797 tokens
PolkaExian: 20 * 200 * 11. 30 = 45,198 tokens
PolkaExsaver: 8 * 400 * 11. 30 = 36,158 tokens
4. Then, lets briefly see how tokens are finally distributed among all tiers.
PolkaExbasic: 5,650/200,000 = 2.8%
PolkaExer: 45,198/200,000= 22.6%
PolkaExist: 67,797/200,000 = 33.9%
PolkaExian: 45,198/200,000= 22.6%
PolkaExsaver: 36,158/200,000= 18.1%
5. Finally, let’s see how many tokens are allocated to one wallet in each tier?
PolkaExbasic: 5,650 tokens/100*1.05 = 59.3220339 tokens
PolkaExer: 45,198 tokens/200 *1.05 = 237.2881356 tokens
PolkaExist: 67,797 tokens/100 *1.05 = 711.8644068 tokens
PolkaExian: 45,198 tokens/20 *1.05 = 2372.881356 tokens
PolkaExsaver: 36,158 tokens/8 *1.05 = 4745.762712 tokens
We inserted a multiplier here: 1.05. Obviously, the more PKEX you staked, the higher the tier, the higher allocations of IDO you can participate in.
First Come, First Serve(FCFS) Tier (Round 2)
If there are unsold tokens, we will open the FCFS Tier. In the early stages, everyone can participate in this round. The minimum and maximum allocation will be set and announced an hour before the FCFS token sale. Users will have 1 hour to buy the remaining tokens.
- Make sure to stake your PKEX here: https://app.polkaex.io/pools (soon), and all users must meet the stake days and minimum PKEX of stake to obtain the corresponding tier of guaranteed allocation.
- All users who stake PKEX tokens in the Pools section of our Dapp will also earn PKEX rewards.
- Each tier incrementally allows you to get more IDO allocation.
- The Tier system is not set in stone and we will continue to optimize and improve it. We will adjust the tiers, weights, and general IDO model as appropriate to best facilitate token sales and allow users to participate as fairly as possible.
- You are not allowed to participate in IDO if you are located, incorporated, or otherwise established in, or a citizen or resident of (i) the People’s Republic of China, Canada, the United States of America, the Hong Kong Special Administrative Region of the People’s Republic of China, the Republic of Seychelles, Bermuda, Cuba, Crimea, and Sevastopol, Iran, Syria, North Korea, Sudan, Albania, Barbados, Botswana, Burkina Faso, Cambodia, Cayman Islands, Democratic People’s Republic of Korea (DPRK), Ghana, Iran, Jamaica, Mauritius, Morocco, Myanmar, Nicaragua, Pakistan, Panama, Senegal, Syria, Uganda, Yemen, Zimbabwe; (ii) any state, country or other jurisdiction that is embargoed by the United States of America; (iii) a jurisdiction where it would be illegal according to Applicable Law for you (by reason of your nationality, domicile, citizenship, residence or otherwise) to participate in the public sale.
PolkaEx is a pioneering cross-chain liquidity integration platform powered by Polkadot. Our team is aiming at a top-notched decentralized exchange that doesn’t only provide higher TPS, lower transaction cost and smooth trading but also a launchpad and other innovative features that will make PolkaEx a one-stop Defi platform.