Protokol Virtuals Presents a 60-Day Tokenization System with Flexible Mechanisms

The new Virtuals Protocol has just introduced a significant innovation in token launches by implementing a 60-day tokenization framework. This model is specifically designed to minimize the risks often associated with early-stage projects. This tokenization system combines public testing phases and continuous development, creating a safer ecosystem for all parties involved in the token launch process.

60-Day Step-by-Step Development Cycle

This tokenization infrastructure operates on the Base network, where each token launch begins with a private liquidity pool with limited volume. Recent reports from Foresight News reveal that the system functions based on achieving progressive trading volume—when transaction accumulation reaches 42,000 VIRTUAL tokens, liquidity is automatically transferred to the Uniswap V2 protocol to expand market reach.

The 60-day period is not just an arbitrary timeframe but a strategic window that allows founders to evaluate the project’s viability. During this phase, the token ecosystem develops organically while being protected from external market volatility.

Commitment Options and Fund Strategies at the End of the Period

This mechanism provides maximum flexibility to the founding team by offering two decision paths at the end of the 60-day cycle. If the founders choose to commit to continuing the project, the tokens will enter a long-term development phase with a structured and gradual fund release system, ensuring sustainable growth without sudden financial pressure.

Conversely, if the decision is not to proceed, the protocol has comprehensive investor protection mechanisms. All funds accumulated through various channels—including the Accumulation Confirmation Fund (ACF), transaction taxes, and liquidity pools—will be fully refunded to token holders who meet the eligibility criteria. This approach reflects a commitment to transparency and accountability within the token ecosystem.

Incentive Structure and Founder Protections

To ensure alignment of interests, this model incorporates a 1% transaction tax with a clear allocation. Of this tax, 70% flows to the founders as an incentive for ongoing development, while 30% is allocated to the protocol itself to support operations and infrastructure.

An additional feature that enhances competitive advantage is the opportunity for founders to form a growth allocation pool using up to 5% of the total team token share. This pool is designed as a long-term incentive mechanism but includes protections—if the project ultimately decides not to commit after the 60-day period, the entire allocation will be fully refunded through a cancellation mechanism.

This comprehensive 60-day framework marks a significant evolution in tokenization approaches, balancing entrepreneurial ambition, investor protection, and long-term ecosystem sustainability.