> For the complete documentation index, see [llms.txt](https://jack-coin.gitbook.io/jack-coin/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://jack-coin.gitbook.io/jack-coin/whitepaper/deflationary-rewards.md).

# Deflationary Rewards

## Tokenomics: Deflationary Rewards

At the core of "Jack Coin" lies its unique tokenomic system. With every transaction,&#x20;

5.5% of the transaction amount is divided among various stakeholders:

1% is burned, reducing the total supply and creating scarcity over time.&#x20;

1.25% is distributed to all holders, encouraging long-term participation and loyalty.&#x20;

0.75% is allocated to animal charities, supporting organizations that champion the well-being of animals

0.84% goes towards marketing initiatives, amplifying our reach and fostering community growth. 2.75% is added to the liquidity pool, ensuring seamless trading experiences on DEXs.

### Deflationary Mechanism

The burning mechanism in "Jack Coin" aims to reduce the token supply over time, driving value appreciation for holders. As more tokens are burned in each transaction, the scarcity of "Jack Coin" increases, potentially leading to a positive impact on its price trajectory.


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