Uniswap Founder Hayden Adams Says Celebrities Wanting to Issue Meme Coins Without Failing Should Use Uniswap's Continuous Liquidation Auctions
Uniswap founder Hayden Adams: Celebrities issue coins with CCA
Uniswap founder Hayden Adams stated that if celebrities want to issue meme coins without failing, they should use Uniswap's continuous liquidation auctions; this mechanism discovers market pricing from the start, injects deep liquidity at that price, and resists being targeted, otherwise they will still incur unnecessary losses in the dark forest.
The continuous liquidation auction transforms the uniform price auction into a continuous time format: the project party sets the supply, floor price, duration, and auction currency (Ethereum or USD stablecoin), with bids split by remaining blocks, each block liquidated at the highest price that can sell out the block's quota, with orders above the liquidation price executed first, and same-price orders executed proportionally. After the auction ends, the raised funds and reserved tokens automatically create a pool on Uniswap v4 at the discovered price. The contract has been deployed on Ethereum, Unichain, Arbitrum, and Base, and new coins or existing tokens in the auction wallet can be created on the web without writing contracts.
The first auction, completed by Aztec in November 2025, had a public bid of approximately $59 million to $60 million, with over 17,000 bidders, and no targeting or automated manipulation detected, with the closing price about 59% higher than the floor price; even if the first day saw bids at extremely high fully diluted valuations, transactions would still fall between the average price of the floor and liquidation prices. After the web application, the auction page will be placed in the exploration bar. There is also an optional zero-knowledge passport module for verifiable participation. Imitations of other artists' tracks are not included in this auction design; the typical celebrity meme coin auction previously involved internal trading plus robots sniping the first liquidity.
Buyers are looking for a publicly discovered price and do not want to hand their positions over to sniping robots, while sellers are the Uniswap auction contract and the subsequent v4 pool. The driving force is the losses from celebrities issuing coins being repeatedly targeted, not the launch of new public chains. Funds from bids enter an automated market-making pool. The beneficiaries are trading pairs that obtain initial depth at the discovered price; those under pressure are robots that profit from the first price difference based on memory pool sorting and privately allocated internal trading.
Source: Public information
ABAB AI Insight
Hayden Adams frames the failure of meme coins as a failure of price discovery rather than a narrative failure. The typical path for celebrity coins is to first privately price, then throw thin liquidity to automated market makers, with robots eating the discount on the first block. Continuous liquidation auctions break supply into block releases, allowing early bidders to average down to a lower price, removing the advantage of last-second bids. Aztec's auction, with a $59 million bid, proves the mechanism can run on a permissionless chain, but that doesn't mean celebrity coins will automatically choose it—celebrities want speed and control, while auctions require time.
The capital path is that auction proceeds directly become the pool, rather than first going to the team wallet to decide whether to add to the pool. The floor price provides a lower bound for fully diluted valuation, while the liquidation price gives an upper bound that the market is willing to pay, with the average price in between serving as the secondary market opening anchor. Uniswap collects protocol fees while distributing the front end, pulling issuance back to its own application from external launch pads. Aztec, as the first partner, conducted a high-profile trial of the mechanism with privacy network narratives.
Comparing bonding curve launch pads and Dutch auctions: the former sees 20% to 30% of supply sniped, while the latter piles orders at the bottom. CCA uses time to resist targeting, at the cost of celebrities not being able to conclude narratives within an hour. The industry phase is shifting from "who gets on chain first eats meat" to "who discovers the price first has the pool." The hook of v4 allows the post-liquidation pool to continue adding custom rules, merging issuance and market-making into one step.
The structural change is that pricing power shifts from memory pools to block liquidation rules. The mechanism is: when supply cannot be bought out in a single transaction, the expected profit from sniping decreases, and public bidding information begins to determine the opening price. The dark forest still exists, but the entry point has changed from the first exchange to a continuous bidding curve over several days.
ABAB News · Cognitive Laws
Being targeted at opening gives pricing power to sorting
Deep liquidity must be generated alongside the discovered price, not added later
Celebrity coin failures mostly die from mechanisms rather than names