Token Lock FAQs
FAQs for both Liquidity Locks and Team Token Locks
Liquidity locks are the standard practice for all serious crypto projects looking to build a community and raise external funding. Locking liquidity is effective for brand-new projects and teams that have no prior experience in the industry to help them establish credibility and trust.
Team Token Locks are specifically for tokens allocated to project team members. With these locks, team members are unable to sell their tokens until the lock expires. They help prevent exit scams. Liquidity Locks are for liquidity pool (LP) tokens. These are created when a project contributes tokens to a liquidity pool on a decentralized exchange. They help prevent "rug pulls".
The longer the better. Long-term locking of liquidity signals your commitment to delivering on what you have promised. If you are concerned about the impact of locking liquidity on your company's Treasury and cash flow, our NFT Liquidity Bonds service can help.
Check out the Team Finance Pricing page for locking fees for our supported blockchains. Fees are included automatically in your wallet when you deploy your contract and are charged in the native token for the blockchain you have selected.
A "rug-pull" occurs when project creators completely withdraw their Liquidity Pool tokens from a decentralized exchange pair. For example, the infamous Squid Game Rug-Pull could have been prevented if the project team had locked their LP tokens in a Team Finance Liquidity Lock.
Yes. Our locking contracts are compatible with any token standard on the blockchain networks that we support.