# Token Buyback and Liquidity Enhancement ## Token Buyback and Liquidity Enhancement: A Cornerstone of Multipool's Tokenomics ### **Trading Fee Structure: Encouraging Market Activity** Our trading fee structure is carefully calibrated to encourage market activity and ensure the sustainability of our platform. We charge a fee of 0.2% for takers, who remove liquidity from the order book by placing orders that are matched with existing orders. On the other hand, makers, who add liquidity to the order book by placing orders that are not immediately matched, are not charged any fee. ### **Native Token Fees: Seamless Integration with Blockchain Infrastructure** Importantly, these trading fees are always paid in the native token of the chain on which the transaction is executed. For instance, all transactions happening on the Ethereum network will be paid in ETH. This approach aligns with our commitment to interoperability and ensures that the trading fee mechanism is seamlessly integrated with the underlying blockchain infrastructure. ### **Buyback Mechanism: Supporting MUL Token Value** We allocate up to 80% of these trading fee revenues for the buyback of MUL tokens from the open market. This mechanism serves multiple purposes. Firstly, it supports the value of MUL tokens by creating consistent demand in the market. Secondly, it demonstrates our commitment to our token holders, as the buyback effectively redistributes value from trading activities to MUL token holders. ### **Two-Step Buyback Process: Enhancing Liquidity** The buyback process is executed in a two-step manner. Half of the allocated % of trading fees is used to purchase MUL tokens from the open market. The remaining half, in the form of the native token (e.g., ETH), is then added to the liquidity pool along with the purchased MUL tokens. ### **Sustainable Economic Model for Multipool** Through this buyback and liquidity enhancement strategy, we aim to create a sustainable and robust economic model for Multipool. By aligning the interests of traders, liquidity providers, and MUL token holders, we believe that this strategy will contribute significantly to the long-term success and growth of our platform. --- # Agent Instructions: Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter: ``` GET https://whitepaper.multipool.finance/tokenomics/token-buyback-and-liquidity-enhancement.md?ask= ``` The question should be specific, self-contained, and written in natural language. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.