> For the complete documentation index, see [llms.txt](https://amanda-reznor-britto.gitbook.io/whitepaper.downbelow.io/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://amanda-reznor-britto.gitbook.io/whitepaper.downbelow.io/tokenomics/3.4-reflection-token-system.md).

# 3.4 Reflection Token System

Reflection Token System is a strategy designed to promote a passive income system among the holders of a currency through the taxation of transactions carried out with this token.

Therefore, for each transaction there is a fixed fee that will automatically increase the volume of tokens in an ecosystem, with one portion feeding the liquidity pool, while the other portion is redistributed among holders.

This system allows promoting a holding culture and reduces sales pressure, being mediated by smart contracts to generate the automatic redistribution of tokens generated by the reflection mechanism, so that the only responsibility of the holder is to manage the digital wallet in which the tokens are stored.

{% hint style="success" %}
In **Down Below** project, the total value of this fee will be of 5%. A half (2,5%) will be charged when the tokens are purchased, and the another half (2,5%) is charged when tokens are sold on DEX (decentralized exchange - marketplace for crypto-asset transactions, such as *PancakeSwap* and *PooCoin*). This amount will be divided equally between *Liquidity Pool* (50%) and <mark style="color:orange;">$ABYSS</mark> holders (50%).
{% endhint %}

As explained above, the choice of this mechanic was made with the aim of discouraging the unbridled trade of $ABYSS, since for each sale made there is a percentage destined to holders in the form of passive income, in addition to strengthening the liquidity pool in the long term, increasing its robustness.

{% hint style="warning" %}
**Note:** To receive the 2.5% percentage of the fee, the holder tokens must be allocated in the digital wallet (*Metamask*). This means that the reward is not obtained while the tokens are in the game, but only when they are allocated in the digital wallet.
{% endhint %}
