🏦Tax Strategy

Our tax strategy is carefully crafted to support ecosystem growth while managing the token supply effectively. We impose a 3% transaction tax on all $AION transactions, including swaps from $AION to $AIONC. This rate is strategically chosen to balance the need for user participation with securing essential funds for ecosystem development, deliberately avoiding higher rates such as 5% that might deter user engagement due to higher perceived transaction costs.

Breakdown of the 3% Tax Allocation:

  • 2.25% Burn: Seventy-five percent of the transaction tax is dedicated to automatically burning $AION tokens. This substantial reduction in circulating supply creates a deflationary pressure, potentially increasing the token’s value over time, which benefits token holders by enhancing the token’s long-term worth.

  • 0.75% to Liquidity and Rewards: The remaining twenty-five percent of the tax is allocated towards liquidity provisioning and rewarding users. This allocation is essential for enhancing user engagement by ensuring stable token liquidity, crucial for smooth market operations and stabilizing the token’s price.

Including the tax on swaps between $AION and other token within the ecosystem or other native tokens ensures that all transactions contribute effectively to the ecosystem’s sustainability and growth. This approach is part of our commitment to fostering a robust and appealing environment for our users, encouraging broader adoption and efficient utilization of both tokens.

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