🔥Fire Tax

We must run as fast as we can, just to stay in place. And if you wish to go anywhere ..you must run twice as fast as that.

Both LEVEL and SQUARE tokens will ALWAYS have a 0% buy tax no matter what. Our model relies only on sales tax.

Exponentially Push TWAP Back Above 1.01

A sliding tax system designed to maintain stability and sustainability of LEVEL's peg to BNB.

We designed this entire Tomb model to maintain stability. Which means everyone has to pay the TWAP.

The tax system works in the following way: When the price of LEVEL falls below peg the "Fire Tax" will initiate a rising sales taxes.

This is done to prevent total price drops. When the price of LEVEL is at or above 1.01 TWAP the only tax is a 3% SQUARE sales tax.

SQUARE's 3% sales tax is automatically deployed to LEVEL/wBNB LP every time anyone sells SQUARE.

The Fire Tax is designed to ensure LEVEL either NEVER goes under peg or doesn't stay there very long as all the taxes are directly correlated with LEVEL stability at or above 1.01 TWAP. If LEVEL goes below 1.01 TWAP, the sales tax for both LEVEL and SQUARE slowly increase 👇

if TWAP is over 1.01, Sell Tax 3% if TWAP < 99%, Sell Tax 5% if TWAP < 95%, Sell Tax 7% if TWAP < 90%, Sell Tax 9% if TWAP < 85%, Sell Tax 11% if TWAP < 80%, Sell Tax 13% if TWAP < 75%, Sell Tax 15%

What happens to your taxes?

SQUARE: 100% of the SQUARE sales tax is swapped into LEVEL/wBNB LP, which adds buy pressure to LEVEL and increases the liquidity.

For LEVEL sales tax:

50% of the LEVEL sell tax is automatically converted into WBNB and paired with the other 50% of LEVEL's sales tax to create permanent liquidity, which helps to ensure there is enough liquidity to support trades.

The tax system is designed to benefit the long-term health of The Lodge ecosystem and its participants.