Snowball is a cryptocurrency protocol and ecosystem centered around its native deflationary token, $snowball. The project aims to generate continuous buying pressure and burning of its token through a bot integrated by other cryptocurrency tokens. [1]
Snowball is presented as a "memecoin experiment" that is built upon a mechanism the project refers to as the "Snowball Effect." The central component of the protocol is the Snowball Bot, a tool developed for token creators on the Telegram platform. The project’s economic model is designed to be deflationary. When a third-party token developer integrates the Snowball Bot, 0.5% of every transaction involving that token is automatically used to purchase $snowball tokens from the open market. These purchased tokens are then permanently removed from circulation through a burning process. [1]
This system is designed so that an increase in trading volume across the entire ecosystem of integrated tokens leads to a direct reduction in the total supply of $snowball. The project's website includes a real-time dashboard called the "Command Centre." This dashboard tracks the tokens that have integrated the bot, displays their market capitalizations, and shows the cumulative volume being generated for the Snowball ecosystem. The project appears to have an initial focus on tokens launched on platforms such as Pump.fun. The project's website was noted to be built by a developer known as "@rdbotato." [1]
The primary product offered by the project is the Snowball Bot, a Telegram-based utility for cryptocurrency token developers. This bot enables developers to either deploy new tokens or register pre-existing ones to become part of the Snowball ecosystem. The bot's core function is to automate the enforcement of the protocol's economic rules, specifically the 0.5% fee on all transactions of the integrated token. These collected fees are then used to facilitate the buy-and-burn mechanism for the $snowball token. Additionally, the bot is designed to help generate volume for the integrated token by utilizing that token's creator fees for trading activity. [1]
====Marketmaking Upgrade==== The market-making decision engine for the Snowball Bot underwent a full audit and rebuild, resulting in several key improvements designed to enhance its trading intelligence and efficiency.
A summary of the market-making upgrades includes:
The Snowball protocol's features are interconnected to support its deflationary ecosystem. [1]
The Snowball Bot is programmed to automatically claim creator fees from tokens that have been integrated into its system. It then converts these fees into trading volume for those same tokens, a process intended to support the market activity of partner projects. [1]
This term describes the core deflationary mechanism of the protocol. A fee of 0.5% is levied on every transaction (both buys and sells) for all tokens that utilize the Snowball Bot. The collected fees from across the ecosystem are aggregated and used to programmatically purchase $snowball tokens from the open market. Immediately following the purchase, these tokens are sent to a burn address, which permanently removes them from the circulating supply. [1]
The Command Centre is a real-time dashboard featured on the project's website. It functions as a discovery platform for users, listing all the tokens that are using the Snowball Bot. Users can utilize the dashboard to track the market capitalization of these integrated tokens and monitor new tokens and volume as they enter the ecosystem. [1]
The Snowball ecosystem is described as having three principal components that work together to power the protocol. [1]
The $snowball token is the central asset of the ecosystem. It is a deflationary cryptocurrency whose scarcity is intended to increase as more tokens join the ecosystem and overall trading volume grows. Its value proposition is tied to the collective economic activity of all integrated partner tokens. [1]
This bot is the technological link that connects third-party tokens to the $snowball protocol. It is the tool that facilitates the onboarding of new tokens and enforces the rules of the deflationary mechanism, thereby enabling the "Snowball Effect." [1]
This category includes all third-party cryptocurrency tokens whose developers have opted to integrate the Snowball Bot. Through their own trading activity, these tokens generate the fees that contribute to the continuous buy-and-burn pressure on the $snowball token. [1]
The project documentation outlines primary use cases for different participants within its ecosystem. These include:
The technical architecture of the Snowball protocol is based on a three-step process that is managed by the Snowball Bot and executed through on-chain transactions.
$snowball token. The purchased $snowball tokens are subsequently transferred to a designated burn address, removing them from circulation.
This structured process is designed to create a self-sustaining cycle of ecosystem growth and token deflation. [1]The tokenomics of the project are focused on the $snowball token and its deflationary design, which is fueled by activity within its partner ecosystem. The token's contract address is Gbu7JAKhTVtGyRryg8cYPiKNhonXpUqbrZuCDjfUpump. [1]
$snowball tokens, such as distributions for a team, marketing funds, or initial liquidity, is not provided in the source material. [1]$snowball token is to serve as a deflationary store of value. It is designed to capture a percentage of the economic activity generated by all third-party tokens operating within its ecosystem. [1]$snowball token. [1]According to an "As Featured On" section on the project's website, the following entity is noted.