Shielded Rules

Shielded IDO Initiatives

For projects implementing the Shielded IDO Rules with Openpad AI, we maintain a unique set of requirements to ensure that users can confidently claim tokens and support the projects they are passionate about.

⚡️ Funds Distribution Protocol

Aligned with the project's predetermined vesting schedule, Openpad AI Launchpad will organize the transfer of funds in distinct segments. The first fund allocation will be executed within 48 hours following the token listing event on the exchange. Subsequent allocations will follow the schedule established in the project's IDO token vesting program.

This strategy allows Openpad AI to securely hold raised capital to cover potential refunds in cases of rug pulls or other critical failures associated with less-than-optimal project management, whether directly or indirectly.

As an example: Let's suppose a project raises $200,000 in an IDO on Openpad AI with an initial distribution of 25% at TGE, followed by a linear vesting schedule over 3 months, with 25% token distribution each month. Openpad AI will initiate a transfer of $50,000 within 48 hours after the TGE, with subsequent transfers synchronized with the project's 2nd, 3rd, and 4th vesting periods.

⚡️ Price Integrity Requirement

The project, during the token listing event, is obliged to maintain the token price at a minimum level equal to the IDO price in order to be eligible for withdrawal. If the token price falls below the IDO price within a 24-hour period after Listing, Openpad AI will utilize the IDO fund to refund the amount to the community. These requirements apply to all projects, regardless of market conditions.

⚡️ Price Maintenance Requirement for the project:

At the token listing event, the project must maintain the token price equal to the IDO price to be eligible for funding. If the token price drops below the IDO price for 24 consecutive hours, Openpad AI will use the funds from the IDO to fully refund the community.

At the second vesting, Openpad AI will only transfer funds when the project's token price is higher or equal to the IDO price. Suppose the token price falls below the IDO price for 48 consecutive hours (starting from the 2nd vesting).

In that case, Openpad AI will refund the community an amount equivalent to the tokens distributed in this vesting. (For example, the refund amount will be 25%, equivalent to the second fund tranche). Each project's subsequent token vesting event will be subject to the exact same requirements as the second vesting. This requirement is mandatory for all projects in all market conditions.

⚡️Refund mechanism

The Refund mechanism will apply to all Tiers if the project fails to satisfy the Price Maintenance Requirement.