Claim & Sell Taxes

This page goes into details in regards to taxes.

To help maintain the sustainability of our project, we will encompass a sliding claim tax, as-well as a sell tax. They will each work in the following ways:

Buy Tax - 0%

We believe our project should not have a tax associated with purchasing anything, be it tokens, NFTs or nodes.

Claim Tax - 20%

The sliding claim tax will work in the following way. It will begin at 100%, and will decrease everyday by 5%, until ultimately landing at 20% which is where it will cease decreasing. This process will take 16 days in total. Holding rewards for 30 days reduce the claim tax to 15%.

Once rewards have been claimed, the tax will then restart again at 100%. We believe the sliding tax will help buffer constant sell pressure and promote the idea of compounding rewards as much as you can, benefitting the protocol further.

Distribution of the claim tax will be as follows:

• 25% - Treasury - (Used for Investments, Validator Nodes, & More)

• 60% - Rewards Pool - (Distributed to Node & xCOD Holders)

• 8% - Liquidity - (Used for Liquidity Pool & Reserves)

• 5% - Development - (Protocol Development, Team Expansion, Marketing, & More)

• 2% - Core Team - (Vested Over Time)

Tax distribution is subject to change.

Sell Tax - 0% to 30%

For our project, we believe a variable sell tax based on the ratio of tokens in the rewards pool to the amount of nodes active is the best way to ensure our protocol is sustainable for the long-term. We want to be here for a long time, and want to promote that in our protocol too.

We want to maintain sustainability to ensure we can provide our holders with value for the long run, not to earn profit for a small group of early investors & then struggle to facilitate the rest of our new investors. This unfortunately can be seen in many protocols currently, and we wish to not follow down to same path.

Distribution of the Sell tax will be as follows:

• 25% - Treasury - (Used for Investments, Validator Nodes, & More)

• 60% - Rewards Pool - (Distributed to Node & xCOD Holders)

• 8% - Liquidity - (Used for Liquidity Pool & Reserves)

• 5% - Development - (Protocol Development, Team Expansion, Marketing, & More)

• 2% - Core Team - (Vested Over Time)

Tax distribution is subject to change.