# Core Concepts Overview

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FOREST is built on a set of mechanics that work together to make token creation flexible, programmable and predictable. This page explains the concepts you will see throughout the docs and how they interact when a token is launched inside the protocol.
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Each concept is designed to be modular.\
Creators can adjust, combine or extend them to define how their token behaves.

## 1. Token Structure

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{% tab title="Overview" %}
Every token created in FOREST has a few foundational components.
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{% tab title="Supply" %}
Supply\
FOREST does not enforce a fixed maximum supply model.

Instead, supply adjusts based on actions: buying, selling, staking, rewards, app engagement or distribution logic chosen by the creator.

Supply becomes a mechanic, not a constraint.

This allows tokens to expand, deflate or rebalance as their ecosystem grows.
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{% tab title="Distribution" %}
Distribution\
Creators decide how their initial supply is allocated:

* liquidity
* treasury
* staking rewards
* airdrops
* external purposes

The distribution determines how much influence the creator retains, how much liquidity is available for trading, and how incentives are set for the community.
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## 2. Liquidity System

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Liquidity is the backbone of every token launched in FOREST.
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When a token is created, part of its supply is paired with $FOREST to form a trading pool.

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{% tab title="Curve Phase" %}
Curve Phase

The token begins on a bonding curve that defines how price changes as tokens are bought or sold.

The creator chooses the curve type: linear, exponential or logarithmic.

The curve enables early price discovery and steady liquidity growth.
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{% tab title="Liquidity Phase" %}
Liquidity Phase

Once a defined threshold is reached, the token transitions into a standard liquidity model.

From this point onward, the price is set by the balance of assets in the pool, and the token trades like any other asset in an automated market environment.
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{% tab title="Lifecycle" %}
This progression creates a smooth launch cycle: **discovery → stability → long-term trading**
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## 3. Fees & Buybacks

Fees play a central role in how tokens behave in FOREST.\
Creators define both buy and sell fees, expressed as percentages.

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{% tab title="Fee Routing" %}
Fees can route value in different ways:

* to project treasury
* to the protocol
* to automatic buybacks
* to burns
* to reward pools
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{% tab title="Buybacks" %}
Buybacks are a tool creators can use to direct part of fee revenue into purchasing their own token from the market.

This can introduce deflationary behaviour, support liquidity depth or provide predictable recurring demand.
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{% tab title="Design Purpose" %}
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In FOREST, fees are not penalties — they are design tools that shape how the token sustains itself.
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## 4. Bonding Curves

A bonding curve defines how token price moves during the early stage of its lifecycle.

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{% tab title="Curve Types" %}
Creators select from predefined curve shapes:

* Linear for steady growth
* Exponential for aggressive early movement
* Logarithmic for fast initial ramp that stabilises later
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{% tab title="Curve Duration" %}
The curve phase lasts until the liquidity threshold is reached.
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{% tab title="Why It Matters" %}
This mechanism gives creators full control over how their token behaves at launch — whether it favours early adopters, smooth distribution or narrative-driven volatility.
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## 5. Graduation Threshold

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The graduation threshold is the moment a token has accumulated enough liquidity to operate sustainably outside the curve.
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When the threshold is reached:

* the curve phase ends
* the liquidity pool transitions
* the token becomes part of the main trading environment

This ensures every token starts small and experimental but has a path toward stability and long-term growth.

## 6. Staking & Reward Mechanics

Creators can allocate part of their supply toward staking rewards.

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{% tab title="Staking Purpose" %}
Staking can be used to:

* encourage long-term holders
* distribute tokens over time
* compensate contributors
* provide yield linked to project activity
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{% tab title="Reward Types" %}
Rewards can be:

* fixed
* dynamic
* tied to app engagement through Campaign OS

Creators decide the pacing and the size of reward emissions.
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{% tab title="Ecosystem Role" %}
Staking transforms passive holders into active participants in the token's economy.
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## 7. Campaign OS & Playable Tokens

Campaign OS is the system that connects tokens to interactive mini-apps.

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{% tab title="App Types" %}
These can be:

* quests
* risk games
* staking modules
* referral systems
* social actions
* custom experiences
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{% tab title="Attachment" %}
When a token is launched, the creator can attach one of these apps directly to it.

This gives the token immediate utility, engagement and user flow from day one.
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{% tab title="Purpose" %}
Campaign OS bridges trading and user behaviour, letting creators design ecosystems rather than static coins.
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## 8. Trading Environment

The trading interface in FOREST adapts based on the token's current state.

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{% tab title="During Curve Phase" %}
Trades follow the bonding curve formula.
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{% tab title="After Graduation" %}
Trading follows the liquidity pool balance.
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{% tab title="Visible Data" %}
Users always see:

* current price
* liquidity depth
* fees
* recent trades
* buybacks
* tokenomics overview

This transparency allows anyone to understand how a token behaves at a glance.
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## 9. Creator Control & Finality

Before publishing, the creator can modify all configuration settings.

Once published, the token becomes immutable:

* tokenomics are frozen
* fees and routes are locked
* distribution cannot be changed

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FOREST gives creators full flexibility before deployment, and users full predictability after.
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