Dear NFTPad Community,
Since day one, the NFTPad and TrustPad team carries out extensive research and due diligence both from the project and external sources. We take every precautionary step to ensure the project is solid — all to protect the community and investors.
For quite some time now we have had strict rules in place to protect our investors, such as not sending funds until 48–72 hours after DEX listing, to make sure everything is OK before sending funds. This made it possible for us to refund IDOs and other sales.
Due to the recent changes in the DeFi and launchpad space there have been an increasing number of projects and teams that have not followed proper guidelines, simply being irresponsible and not respecting our community’s funds.
To filter out the more irrespective and greedier actors, and also to make sure the projects put in full effort into making their projects successful, we have now decided to announce a strict 10 rules protocol called “Safeguarded Launch Protocol” that the projects have to adhere to with no exceptions — in order to receive all the raised funds, or even launch on NFTPad in the first place.
10 rules for Safeguarded Launches on NFTPad
Projects launching on NFTPad need to comply with the following requirements starting from today:
1. NFTPad will require a minimum amount of liquidity to be added on a DEX according to the total raise. It will be decided case by case according to the total raise and other circumstances, but it will never be less than $200k for a specific trading pair. The liquidity needs to be locked for at least 6 months and longer if the whole vesting period passes that. Please note: Planned DEX / AMM upgrades, such as the one from PancakeSwap V1 to V2, will also be taken into consideration, when deciding lock-up time.
2. NFTPad will require mandatory lock-ups for “Team Tokens” such as team, development, marketing, advisory etc tokens according to your vesting schedule/tokenomics. These tokens need to get locked according to their vesting schedule, no exception. Proof of lock is a must before launch. Any sign of more tokens in circulation than the specified DEX listing amount will prompt an immediate refund or at least a poll for that.
3. NFTPad will require that the preset distribution times need to be complied with. If a sale partner allows a certain party to get their tokens before NFTPad investors, we will find a way to compensate our investors. If the sale partner acts maliciously or makes an error in regards to the distribution that causes losses to our investors, we will withhold an appropriate amount of the unvested funds in order to compensate the loss to our investors.
4. NFTPad will only send funds in batches according to the vesting schedule in order to be able to refund the community in the cases of project abandonment, hacks, exploits, system breakdown or malicious activity. For instance, if the contracts gets hacked or any other unforeseeable thing happens (force majeure), and the token price suffers due to that and the project is no more profitable to our investors, we will refund or at least set up a poll to refund the rest of the distributions.
5. NFTPad will make sure the initial project’s roadmap is followed and doesn’t put our investors’ money in jeopardy. We reserve the right to refund the rest of the unvested amounts. For instance, if the project decides that they are going to transfer their marketing funds to enrich the team members, that will naturally cause a finable, compensable event and also may cause a refund for the rest of the distribution amounts. All the money withheld as fines will be transferred to the sale participants, investors in that particular sale.
6. NFTPad will require all the tokens sold in a sale (IDO, Private or Seed) through NFTPad to be sent to NFTPad before the launch to make sure our community will get their tokens in time, without any delays, no exceptions.
7. No more than 21days between a sale and its listing. Our aim is to have all the sales 24 to 72 hours before the listing to keep momentum intact. If a listing is postponed until further notice, we will automatically refund the sale if the delay is for 21 days or more. We will then have another sale date for the project close, 24 to 72 hours to the new listing date. NFTPad never wants to withhold investors’ funds more than what is needed. This rule is to ensure maximum ROI for the investors’ funds.
8. NFTPad will require full token audits from reputable audit companies to ensure that there are no malicious functions in the contract such as rug pull allowing tax systems, proxy contracts, honeypots, centralized blacklisting (other than possible launch related bot prevention), minting or other types of malicious functions.
9. NFTPad will provide a comprehensive launch protocol for the sale partners to follow. That protocol contains specific guidance regarding various issues to ensure that the listing goes technically smoothly, avoids various pitfalls, bot abuse and most importantly has a specific guidance to maximise multiples the price can do at the listing.
10. NFTPad will require projects to stay above their IDO price until at least 34% of the distribution is complete. If the term does not fill, we will set a poll to decide for a refund for the rest of the distributions. NFTPad will provide guidance to the sale partners to sustain a high token price. In the guide we will provide specific actions to do and others to avoid.
These rules go into effect Today, May 1st, 2022.
Besides the requirements above, NFTPad has the right to issue a partial or full refund or poll for a refund at any time if we find out that malicious, bad practices or critical errors have occurred.
However, we will also pay extra attention to all the critical details our sale partners might have with their launches, we have their backs as well. Our goal is to maximize the potential, ROI and utility all our launched projects can make and at the same time promise safety to investors, simply to have our investors’ back at all times.
You will always be protected and have peace of mind investing in promising projects through NFTPad.
Best regards,
NFTPad Team
