> For the complete documentation index, see [llms.txt](https://polywantsacracker.gitbook.io/stadiumarcadium/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://polywantsacracker.gitbook.io/stadiumarcadium/features/mechanics.md).

# Deflationary Mechanics

> Go ask the dust for any answers&#x20;
>
> Come back strong with 50 belly dancers

The platform has several mechanics intended to bring about deflation and provide price support:

* Deposit fee use
  * The deposit rate is set to 4% for all non-native pools
  * 1% is used to buy back **ARCADIUM** and then automatically provide automated market maker (AMM) support for **ARCADIUM** liquidity pairs
  * 3% is automatically converted to USDC and granted to staked **MYFRIENDS** holders
* Transaction fees
  * There is a 6.66% transaction tax on **ARCADIUM** token transfers ([with some exceptions](/stadiumarcadium/features/amm-dumping-tax.md))
    * There is an additional 2% "**Asshole Tax**" (total: 8.66%) on transactions that dump on AMM LP
  * 3% is used to provide AMM support for **ARCADIUM** liquidity pairs
  * 3% is granted to staked **ARCADIUM** holders
  * 0.66% is burned
* Fees for other platform services

  * 50% is used to provide AMM support for **ARCADIUM** liquidity pairs
  * 50% is granted to **MYFRIENDS** stakers

© 2021 Sugandese Tokens
