Pi Launchpad has completed the distribution of its second Testnet token, SLICE.
The purpose of the test token launches is to introduce Pioneers to the new ecosystem token mechanics and to educate the community on how to participate in Decentralized Finance (DeFi) mechanisms. By engaging with test tokens, Pioneers can build practical financial literacy around liquidity pools, swaps, and automated token pricing.
Testing also allows Pi to collect insightful data and Pioneer feedback to help improve and refine the Launchpad design and mechanics for the Mainnet version.
From June 11-28, over 242,000 participating Pioneers committed a total of 15.92 million Test-Pi toward token acquisition for 10 million SLICE Test tokens.
Unlike the first test token launch, SLICE is connected to a working third-party game, Slice of Pi, enabling Pi to test the engagement bonus feature with a real app, rather than a dummy app, that can better inform the Launchpad design ahead of a Mainnet version. This helps calibrate the product-first purpose of Pi ecosystem tokens, which are intended to support utility, user acquisition, and engagement rather than primarily raise capital.
For the SLICE launch, Pi introduced a simpler participation flow centered on the amount of Test-Pi a Pioneer chose to commit. The Launchpad automatically calculated the related fair-access hold and framed engagement benefits as a percentage bonus on the SLICE received.
With distribution complete, Pioneers can now explore the post-launch experience. The Launchpad interface shows individual allocation details, the launch and effective token prices, access to the SLICE liquidity pool, and a chart tracking changes in the SLICE price relative to Test-Pi.
How the SLICE Liquidity Pool Works
In the Pi Launchpad model, projects issue tokens as tools to acquire users for their applications and integrate those tokens directly into product functionality, such as access, payments, rewards, and governance. Instead of being taken by the issuing project, the proceeds of Pi from their token launch go to a liquidity pool with the ecosystem token, which bootstraps a healthy liquidity foundation from the start.
For the SLICE test launch, this results in a liquidity pool containing SLICE and Test-Pi. In addition to matching individual buyers and sellers through a traditional decentralized order book on the Pi DEX, the pool uses an automated market maker algorithm to calculate swaps based on the amounts of both assets it currently holds.
When a Pioneer uses Test-Pi to acquire SLICE, Test-Pi is added to the pool and SLICE is removed. The pool is then left with more Test-Pi and less SLICE, increasing the displayed price of the remaining SLICE. When a Pioneer swaps SLICE for Test-Pi, the opposite occurs. SLICE is added to the pool and Test-Pi is removed, which can lower the displayed SLICE price.
These swaps are calculated using a constant-product formula. In simplified terms, the pool adjusts the quantities of both assets so that the product of the two reserve quantities remains constant during a swap, before accounting for fees.
Simplified Liquidity Pool Example
Imagine a pool that begins with 10 SLICE and 10 Test-Pi. Under the constant-product formula:
SLICE reserve × Test-Pi reserve = constant product
So initially:
10 SLICE × 10 Test-Pi = 100
If a Pioneer removes five SLICE, the pool is left with five SLICE. To keep the constant product at 100:
5 SLICE × new Test-Pi reserve = 100
Therefore:
new Test-Pi reserve = 100 ÷ 5 = 20 Test-Pi
Because the pool started with 10 Test-Pi, the Pioneer would need to add 10 Test-Pi, ignoring fees. Afterwards, it holds 20 Test-Pi and five SLICE. This new balance produces a higher displayed SLICE price. The example demonstrates how demand expressed through swaps directly changes the pool’s balance and the resulting token price.
Pioneers can follow this activity through the new price chart feature and explore how the token price responds as Testnet swaps occur.
Explore SLICE in the Pi Launchpad App
While SLICE exists only on Testnet and will never move to Mainnet, Pioneers can use it to learn how Launchpad mechanics, liquidity pools, swaps, and token pricing work. Their participation also helps Pi gather data and community feedback to improve the product before a Mainnet token launch.
Open Pi Launchpad in Pi Browser to explore SLICE today!