Raydium, the decentralized exchange (DEX) on Solana, is about to launch a new platform called LaunchLab. This platform will let users launch tokens, similar to how Pump.fun works.
The idea behind LaunchLab is to help token creators by giving them different ways to set the price of their tokens, this includes bonding curves, which basically adjust how the token price changes based on demand.
According to a report, LaunchLab will offer three types of bonding curves: linear, exponential, and logarithmic. This will give creators more control over their tokens. In addition, LaunchLab will allow third-party user interfaces (UIs) to set their own fees.
This gives more flexibility to people using the platform. Raydium has also made sure that LaunchLab is connected to Raydium’s liquidity provider locker. This means that token issuers can keep earning swap fees forever. So, once you create a token, you won’t have to worry about losing money because of fee changes.
Raydium started working on LaunchLab months ago, but the platform paused it for a while because it didn’t want to compete directly with other platforms. However, once Raydium heard that Pump.fun was planning to develop its own market maker (AMM), the platform decided to continue working on LaunchLab.
LaunchLab is not about replacing Pump or any other platform—it’s an alternative for teams that don’t want to build from scratch, and for Pump users who prefer Raydium’s AMM v4 for migrating pools,” Infra explained.
Moreover, the reason Raydium is pushing for LaunchLab is concerning losing revenue. Right now, Pump.fun tokens make up 41% of Raydium’s revenue. If Pump.fun goes ahead with its own AMM, Raydium could lose up to 35% of its revenue.
This is part of the reason why Raydium’s native token, RAY, dropped by 25% in February. Despite the drop in price, Raydium still has $168 million in assets, which will help it launch LaunchLab. But following this news, RAY surged 16% from an intraday low of $1.60 to $1.86.
In the end, Raydium sees LaunchLab as a way to help people who want to create tokens without doing everything from scratch. LaunchLab will also support tokens beyond Solana (SOL), which means more options for users.
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