About tax farming protocol
Tax farming is a process that lets users earn BNB rewards by temporarily locking their tokens for a specific period. The BNB rewards accumulate in real-time and are distributed to all token farmers.
How does one earn BNB?
For example, when Alice spends 1 BNB to purchase 100,000 ALTIE, she receives 95,000 ALTIE, and the remaining 5,000 (5%) is converted to BNB and allocated to the developer (70%) and the farming pool (30%). These farming pools also referred to as volumes, are created for a limited period. Users who lock their tokens during the warming period are eligible to earn a share of 30% of the tax. For example, Bob may choose to lock his tokens and receive a share of the farming pool. If the daily trading volume for ALTIE is $1,000,000, then tax farmers like Bob will share $15,000 in one day. The initial investment may be exceeded by the BNB rewards, given the low market cap of ALTIE at the start.
What is a warming-up period?
The warming-up period is a short period when users can lock their tokens for farming. Attempting to lock tokens after the warming-up period has ended will result in failure.
How does the pool receive BNB?
BNB is sent from each trade on DEX, and accumulated from the beginning of the warming-up period until the end of the farming period.
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