> For the complete documentation index, see [llms.txt](https://propichain.gitbook.io/propichain/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://propichain.gitbook.io/propichain/tokenomics/token-tax.md).

# Token Tax

The token tax structure for PropiChain is designed to promote healthy trading activity while ensuring the platform's sustainability and long-term growth. The tax system includes a 1% buy tax and a 4% sell tax, each serving specific purposes within the ecosystem.

Buy Tax (1%): The 1% buy tax is applied to all token purchases. This small percentage is designed to minimally impact buyers while contributing to the platform's development and liquidity pool. The funds collected from the buy tax are allocated towards maintaining liquidity, funding development projects, and supporting marketing efforts. By keeping the buy tax low, PropiChain encourages participation and investment, making it easier for new users to enter the ecosystem and contribute to its growth.

Sell Tax (4%): The 4% sell tax is applied to all token sales and serves a dual purpose. First, it helps to maintain price stability by discouraging frequent selling, which can lead to volatility. Second, the funds collected from the sell tax are reinvested into the platform to support ongoing development, marketing, and community incentives. This tax also contributes to the sustainability of PropiChain by ensuring that resources are available to fund future projects and enhancements, benefiting the entire community in the long run.


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