Token Creation Parameters
Step 2 of 5 in the Token Creation Process
Understanding Token Parameters
Setting the right parameters for your token is crucial for its long-term success. Each parameter affects how your token functions, its value proposition, and how it will be perceived by the community. This guide will help you understand each parameter and make informed decisions.
Token-2022 Standard
RevShare uses Solana's Token-2022 standard which supports advanced features like transfer fees. This newer standard enables the revenue-sharing functionality while maintaining compatibility with the Solana ecosystem.
Token Name & Symbol
Token Name
My Token
The full name of your token
Token Symbol
TKN
Short ticker for exchanges and wallets
Choosing the Right Name & Symbol
Token Name
Your token's full name should be:
- Clear and memorable
- Relevant to your project's purpose
- Unique enough to stand out
- Avoid names that could cause confusion with existing tokens
- Avoid names that might imply securities or investment returns
Token Symbol
Your token's symbol (ticker) should be:
- Short (2-5 characters is ideal)
- All uppercase letters
- Easy to remember and type
- Avoid symbols that match existing major tokens
- Should represent your token name or project
Initial Supply & Decimals
Initial Supply
1,000,000
Total tokens created at launch
Decimals
9
Divisibility of each token
Understanding Supply & Divisibility
Initial Supply
The initial supply determines how many tokens exist when your token launches:
- Lower supply (under 1 million) can create a perception of scarcity
- Higher supply (1 million or more) allows for more granular distribution
- Consider your token's use case and target price point
Recommendation: For most projects, a supply between 1 million and 1 billion tokens provides a good balance between perceived value and distribution flexibility.
Decimals
Decimals determine how divisible your token is - how small a piece can be transferred:
- 9 decimals is the Solana standard (like SOL itself)
- More decimals (e.g., 9) allow for micro-transactions and precise fee distribution
- Fewer decimals (e.g., 2) simplify token accounting but limit granularity
Recommendation: Use 9 decimals in most cases to align with Solana's standard and enable precise distribution of fees.
Transfer Fee
Transfer Fee Percentage
8%
Percentage collected on each transfer
Maximum Fee Per Transaction
100,000 (10% of supply)
Cap on fees for any single transaction
Understanding Transfer Fees
How Transfer Fees Work
When someone transfers your token, a percentage is automatically collected as a fee. This fee is what enables the revenue-sharing model:
- Fees are collected in your token's native units
- Fees accumulate in the distribution wallet
- Later, these fees are distributed to eligible token holders
- A portion can be allocated to the developer (you) as a development fee
Setting the Right Fee Percentage
The transfer fee percentage directly impacts your token's economics:
- Low fees (1-3%): Encourage more trading but generate less revenue to share
- Medium fees (4-8%): Balance trading activity with meaningful revenue generation
- High fees (9%+): Generate more revenue per transaction but may discourage trading
Recommendation: Start with a fee between 4-8% unless your token has a very specific use case that would justify higher or lower fees.
Maximum Fee Cap
The maximum fee limits how much can be taken from any single transaction:
- Protects large transfers from extreme fee amounts
- Typically set as a percentage of total supply (5-10%)
- Prevents extremely large transfers from being penalized excessively
Recommendation: Set the max fee to 5-10% of your total supply to balance protection for large transfers while still maintaining your fee structure.
Common Questions About Parameters
Can I change these parameters after creation?
Most token parameters cannot be changed after creation, including the name, symbol, decimals, and transfer fee percentage. The max fee can be adjusted in some cases, but this requires advanced technical knowledge. Choose your parameters carefully!
How do my parameters affect listing on exchanges?
Exchanges may have specific requirements or preferences for token parameters. Generally, tokens with standard decimals (9) and reasonable fee structures (under 10%) are easier to list. Very high fees or unusual parameters might require additional discussion with exchanges.
Should I create more tokens later?
For revenue-sharing tokens, a fixed supply model is typically recommended. Creating more tokens later (minting) dilutes existing holders. However, the RevShare platform allows you to configure an emergency mint function for authorized addresses if absolutely necessary.