# Tokenomics Explained **Understanding $AVB Tokenomics** The $AVB token is designed with a clear and strategic financial structure to ensure stability, growth, and fair distribution for all its holders. * **Total Supply**: The entire circulation of $AVB tokens is capped at 10 000. This limited supply ensures scarcity and potential value appreciation over time. * **Transaction Tax**: Every transaction involving $AVB incurs a 10% tax. This tax is split evenly with 5% applied to buys and 5% to sells. Additionally, AVABOT takes a 1% fee on every transaction, further contributing to the ecosystem's sustainability. This structure is designed to discourage frequent trading and promote holding, stabilizing the token's price. * **Initial Liquidity**: To ensure a smooth trading experience and avoid drastic price fluctuations, we'll be adding 62 $AVAX in the AVB/AVAX pool * **Marketing Allocation**: 5% of the total supply is reserved for marketing. This ensures that the project has sufficient funds for promotions, partnerships, and other growth-oriented activities. * **Team Allocation**: Another 5% is set aside for the team. This allocation compensates the dedicated individuals behind $AVB for their efforts and commitment. * **Liquidity**: A significant 90% is channeled towards liquidity. This high liquidity allocation ensures that the token remains easily tradable and less susceptible to price volatility. In essence, the $AVB tokenomics is a reflection of a well-thought-out strategy, aiming to balance growth, stability, and fair distribution. **Whether you're an investor or a casual holder, understanding these fundamentals can provide insights into the token's potential trajectory and the team's vision for its future.** --- # 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://avabot-organization.gitbook.io/avabot-sniping-bot-on-avalanche/tokenomics/tokenomics-explained.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.