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

# Tokenomics

Welcome to a detailed breakdown of the tokenomics for BaseSafe ($SAFE), designed to provide clarity and transparency for all participants in the ecosystem.

### Token Information:

* **Token Name**: BaseSafe ($SAFE)
* **Total Supply**: 1,000 $SAFE Tokens

### Initial Distribution:

#### Fair Launch:

* **94% of Total Supply** (940 $SAFE) will be available through a fair launch on the Uniswap ETH chain, ensuring direct access for users from the liquidity pool at the outset.

#### Team Allocation:

* **4% of Total Supply** (40 $SAFE) is reserved for the project's team, recognizing their commitment to development and project management.

#### Marketing Fund:

* **2% of Total Supply** (20 $SAFE) is allocated to a marketing wallet, dedicated to promotional activities, partnerships, and marketing campaigns aimed at enhancing project visibility and volume.

#### Liquidity Pool:

* **Initial Funding**: 0.35 ETH and USDC corresponding to 0.35 ETH will be added to the Uniswap liquidity pool at launch to facilitate immediate trading of $SAFE against **both** ETH and USDC, providing arbitrage opportunities between them which is essential liquidity for the token's market activities.

### Transaction Tax Structure:

Transaction taxes are designed to fuel ecosystem growth and enhance token value without hindering direct transactions with the BaseSafe DApp.

#### Buying $SAFE on Uniswap:

* **3% Tax on Purchase**:
  * **1.5% to the BaseSafe Vault**: Funds the enhancement of $SAFE's price within the DApp.
  * **1.5% to Marketing Wallet**: Supports ongoing promotional efforts to attract new users and encourage active trading.

#### Selling $SAFE on Uniswap:

* **3% Tax on Sale**:
  * **1.5% to the BaseSafe Vault**: Similar to the buying tax, this supports the increment of the token's price within the DApp.
  * **1.5% to Marketing Wallet**: Receives a greater share compared to purchases, ensuring robust marketing initiatives for sustained growth and engagement.

#### Transactions with the BaseSafe DApp:

* **No Tax on Selling to the DApp**: When selling $SAFE tokens back to the BaseSafe DApp, there is no tax applied. This allows for a frictionless process, encouraging users to interact with the DApp, ensuring tokens are burned (removed from circulation), and in turn, potentially increasing the value of remaining $SAFE tokens through decreased supply.

This thoughtful tax structure ensures a balanced ecosystem where the value can be dynamically supported by internal and external transactions, promoting a healthy, engaging, and sustainable trading environment for $SAFE tokens.