> For the complete documentation index, see [llms.txt](https://trendarena.gitbook.io/trend-arena/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://trendarena.gitbook.io/trend-arena/overview/mechanics-more-detailed/bonding-curve.md).

# Bonding curve

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📘 What happens when a Bonding Curve coin crashes?

It doesn’t mean your funds are gone.

On the contrary — you get a Redeem button, which allows you to withdraw your deposited USDT.

💡 Why does this happen?

Our coins use a bonding curve model: The price increases as people buy — from $0.01 to $0.10 Every buy adds liquidity to the pool This pool is the coin’s “backing”

📉 What happens during a crash?

* Trading stops
* The pool is no longer used for trading
* All remaining funds in the pool become available to holders

👉 That’s why the Redeem button appears — you simply claim your share from the accumulated pool.

⚖️ Important to understand:

If you entered early — you’re more likely to be in profit If you entered late — your result depends on how much liquidity is left in the pool