# OLD-Tokenomics

Here we detail the structure of our token supply, the allocation of rewards, and how taxes and liquidity farming work on **Base Layer 2**. Dexlens is designed to empower both beginner and experienced traders by providing a **cost-efficient, scalable, and community-driven ecosystem**. By launching on **Base**, a Layer 2 blockchain built on Ethereum, Dexlens ensures low transaction fees, fast transactions, and seamless user experiences.

## Total Supply

10 Billion Dexlens Tokens (DEXL)

## Token Allocation

<table><thead><tr><th>Category</th><th width="113">Allocation</th><th width="90">Tokens</th><th width="284">Purpose</th></tr></thead><tbody><tr><td>Initial Liquidity</td><td>10%</td><td>1 B</td><td>To provide liquidity on Base and ensure price stability at launch.</td></tr><tr><td>Seed</td><td>10%</td><td>1 B</td><td>Funds used to bootstrap liquidity &#x26; locked.</td></tr><tr><td>LP Farming Rewards</td><td>40%</td><td>4 B</td><td>Incentives for community members to provide liquidity and grow the ecosystem.</td></tr><tr><td>DAO Treasury</td><td>20%</td><td>2 B</td><td>Reserved for governance, development, partnerships, and community initiatives.</td></tr><tr><td>Team Allocation</td><td>15%</td><td>1.5 B</td><td>Reserved for the core team &#x26; founder, subject to a vesting schedule to ensure commitment.</td></tr><tr><td>Marketing &#x26; Growth</td><td>5%</td><td>500 M</td><td>To fund marketing campaigns, partnerships, and ecosystem expansion.</td></tr></tbody></table>

## Token Allocation Details

### 1. Initial Liquidity (10%) – 1,000,000,000 Tokens

**Purpose:**

* To provide liquidity on Base Layer 2 at launch, ensuring smooth trading and price stability.

**Lock Mechanism:**

* Inital liquidity and locked for 5 years.&#x20;

### 2. Strategic Seed (10%) – 1,000,000,000 Tokens

**Purpose:**

* Funds used to bootstrap liquidity & locked

**Vesting Schedule:**

* 40% of tokens will be unlocked at Token Generation Event (TGE), followed by a 30-day cliff and 60-day linear vesting after.

### 3. LP Farming Rewards (40%) – 4,000,000,000 Tokens

**Purpose:**

* To incentivize community members to provide liquidity to Dexlens pools on Base.
* Strengthens liquidity over time, creating a decentralized and community-driven liquidity pool.

**Distribution:**

* Gradually distributed over a multi-year period with a reward decay model to ensure sustainability.

### 4. DAO Treasury (20%) – 2,000,000,000 Tokens

**Purpose:**

* To empower the community to govern the Dexlens ecosystem through a Decentralized Autonomous Organization (DAO).
* Funds will be used for development, partnerships, ecosystem incentives, and future initiatives.

### 5. Team Allocation (15%) – 1,500,000,000 Tokens

**Purpose:**

* Reserved for the core team & founder to ensure their commitment to the project's success.

**Vesting Schedule:**

* 30-day cliff and 60-day linear vesting after.

### 6. Marketing & Growth (5%) – 500,000,000 Tokens

**Purpose:**

* To fund marketing campaigns, partnerships, and onboarding efforts to grow the Dexlens ecosystem.

**Distribution:**

* Tokens will be gradually released to ensure sustainable growth efforts.

## Transaction Tax System

To ensure the sustainability of the Dexlens ecosystem, a transaction tax is applied to all buy and sell transactions. This tax is used to grow liquidity pools (LPs), fund operational expenses, and incentivize liquidity providers through LP staking rewards.

### Tax Breakdown

<mark style="color:green;">Time between stages are minutes between</mark>

<table><thead><tr><th width="222">Phase</th><th width="99">Buy Tax</th><th width="103">Sell Tax</th><th width="327">Purpose of Tax Revenue</th></tr></thead><tbody><tr><td>Initial Launch</td><td>45%</td><td>45%</td><td>Discourages bots/snipers and funds the ecosystem.</td></tr><tr><td>Post-Launch Phase 1</td><td>25%</td><td>25%</td><td>Supports LP growth, project expenses, and staking rewards.</td></tr><tr><td>Post-Launch Phase 2</td><td>10%</td><td>10%</td><td>Gradual reduction as the market stabilizes; continues to fund liquidity and operations.</td></tr><tr><td>Final Tax Rate</td><td>4%</td><td>4%</td><td>Long-term sustainable rate for liquidity growth and operational funding.</td></tr></tbody></table>

## Max Wallet and Swap Limits at Launch

To ensure a fair token distribution and prevent whale dominance during the early stages of the launch, Dexlens will implement the following temporary limits:

### 1. Max Wallet Limit: 7,000,000 Tokens

**Purpose:**

* Prevents any single wallet from holding a disproportionately large amount of tokens during the initial launch phase.
* Ensures a fair distribution of DEXL tokens across the community.

**Details:**

* Each wallet will be limited to holding a maximum of 7,000,000 tokens during the launch phase.
* This limit will be removed after the initial launch phase, allowing for unrestricted trading and accumulation.

### 2. Max Swap Limit: 7,000,000 Tokens

**Purpose:**

* Prevents large token swaps that could cause excessive price volatility during the launch.
* Discourages bots and whales from dominating the market early on.

**Details:**

* Each transaction will be limited to a maximum of 7,000,000 tokens during the launch phase.
* This limit will also be removed after the initial launch phase, ensuring a smooth transition to free trading.

## LP Farming on Base

### How It Works

1. **Provide Liquidity:**
   * Users add liquidity to DEXL pools on Base (e.g., DEXL/ETH, DEXL/USDT) and receive LP tokens.
2. **Stake LP Tokens:**
   * LP tokens can be staked in Dexlens's farming contracts to earn rewards.
3. **Earn Rewards Per Block:**
   * Rewards are distributed per block, with a reward decay model to ensure sustainability.

### Reward Decay Model

The reward decay model ensures that rewards are front-loaded to incentivize early adopters while gradually reducing emissions to maintain sustainability and reduce sell pressure.

<table><thead><tr><th width="108">Year</th><th width="126">Percentage</th><th width="137">Distributed</th><th>Daily Rewards</th><th>Block Rewards</th></tr></thead><tbody><tr><td>Year 1</td><td>40%</td><td>1.6B DEXL</td><td>4,383,500 DEXL/day</td><td>4,383,500 ÷ 43,200 ≈ 101 DEXL/block</td></tr><tr><td>Year 2</td><td>25%</td><td>1B DEXL</td><td>2,739,700 DEXL/day</td><td>2,739,700 ÷ 43,200 ≈ 63 DEXL/block</td></tr><tr><td>Year 3</td><td>15%</td><td>600M DEXL</td><td>1,643,800 DEXL/day</td><td>1,643,800 ÷ 43,200 ≈ 38 DEXL/block</td></tr><tr><td>Year 4</td><td>12%</td><td>480M DEXL</td><td>1,315,100 DEXL/day</td><td>1,315,100 ÷ 43,200 ≈ 30 DEXL/block</td></tr><tr><td>Year 5</td><td>8%</td><td>320M DEXL</td><td>876,700 DEXL/day</td><td>876,700 ÷ 43,200 ≈ 20 DEXL/block</td></tr><tr><td>Total</td><td>100%</td><td>4B DEXL</td><td>—</td><td>—</td></tr></tbody></table>


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