# I. Revenue Based Token Burn Mechanism

#### I. Revenue Based Token Burn Mechanism

### 1. Fee Allocation

* Fee’s generated from customer card loads: 2% of loaded amount
* Buy & Burn Allocation: 1% (50% of loading fees)
* Collection: Real-time fee accumulation
* Execution: Monthly buy & burn events

```
Monthly Burn Calculation:
Monthly Buy & Burn Pool = Σ (Daily Load Amount × 0.01) 
Example: If monthly load volume = $1,000,000 
Buy & Burn Pool = $1,000,000 × 0.01 = $10,000 monthly for token purchases
```

### 2. Revenue-Based Burn Calculations

**2.1 Buy and Burn pool Accumulation:**

* Monthly market purchases of 41,500 tokens
* Purchases spread across the month to minimize price impact
* Tokens sent to designated burn address

**2.2 Token Burn Estimation:**

```
Monthly Tokens Burned = Buy & Burn Pool ÷ Token Price
Example at $0.004 per token:
$10,000 ÷ $0.004 = 2,500,000 tokens
```

### 3. Implementation Strategy

**3.1 Buy & Burn Execution:**

* Accumulation Period: 30 days
* Execution Window: First 5 days of each month
* Method: Market buys followed by immediate burns

**3.2 Market Impact Management:**

```
Daily Buy Limit = Monthly Buy Amount ÷ 5
Maximum Single Transaction = Daily Buy Limit ÷ 4
```

**3.3 Price Protection Mechanics**

* Maximum Buy Price: 5% above 24h VWAP
* Minimum Buy Window: 6 hours between large purchases
* Circuit Breaker: Pause if price increases >10% in 24h

### 4. Project Impact Scenarios

**4.1 Conservative ratios:**

```
Monthly Load Volume: $50,000
Buy & Burn Pool (1% of load): $500
Tokens Purchased at $0.004: 125,000 tokens
Annual Projection: 1,500,000 tokens (~3% of circulating supply)

Monthly Load Distribution:
- Average Daily Load: $1,666.67
- Average Transaction Size: ~$100
- Estimated Users: 500 monthly loads

```

4.2 Target ratio:

```
Monthly Load Volume: $250,000
Buy & Burn Pool (1% of load): $2,500
Tokens Purchased at $0.004: 625,000 tokens
Annual Projection: 7,500,000 tokens (~15% of circulating supply)

Monthly Load Distribution:
- Average Daily Load: $8,333.33
- Average Transaction Size: ~$100
- Estimated Users: 2,500 monthly loads
```


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