> For the complete documentation index, see [llms.txt](https://bread-5.gitbook.io/bread/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://bread-5.gitbook.io/bread/mechanics/buyback-economy.md). # Buyback economy ### The principle **All sell tax routes into buyback and burn of the same token.** This is not a marketing line — it's wired into the smart contract. ### Buyback sources (Bonding Curve) **1. 15% sell tax during the curve phase** Every sell during the curve phase generates a 15% sell tax. 100% of this SOL routes into buyback and burn of the same token. The SOL automatically buys the token on the curve, the bought-back token is burned — supply shrinks, the price gets structural support. **2. Migration buyback and burn — 15%** At migration, 15% of the collected SOL routes into buyback and burn. Executed as 5 tranches × 20% every 5 minutes — supports the price across the first 25 minutes post-migration (the most volatile window). ### Migration buyback — identical for both modes Migration distribution is identical for Bonding Curve and Presale Launch — 80% Meteora + 15% buyback and burn + 5% migration fee. That means even in Presale, price support kicks in across the first 25 minutes after migration through the 5 buyback tranches. ### Why this works Buyback applies to **the same** token that's being traded. Every sell automatically creates a counter-buy of the same token, and the bought-back volume is burned. This is direct value capture for holders without dependence on a platform-token treasury — supply gradually shrinks, deflationary pressure builds with volume. ### Permanent LP lock After migration, the Meteora pool's LP tokens are locked **permanently**. That means: * Nobody (not even the creator) can pull liquidity from the pool * The pool works as a permanent reserve * Holders are protected from classic rug schemes where the creator pulls LP > **Distribution turns into conviction. Conviction turns into holding. Holding forms market culture.** *** --- # Agent Instructions This documentation is published with GitBook. GitBook is the documentation platform designed so that both humans and AI agents can read, navigate, and reason over technical content effectively. Learn more at gitbook.com. ## 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, and the optional `goal` query parameter: ``` GET https://bread-5.gitbook.io/bread/mechanics/buyback-economy.md?ask=&goal= ``` `ask` is the immediate question: it should be specific, self-contained, and written in natural language. `goal` is optional and describes the broader end goal you are ultimately trying to accomplish on behalf of the user. GitBook uses it to tailor the answer towards what is most useful for that goal. 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.