Post
Topic
Board Marketplace (Altcoins)
Re: If some token distrube 2% of each transaction to LP, means it price decrease?
by
George199
on 15/11/2021, 17:01:09 UTC
No, this question isn´t about classic exchanges like Binance but about decentralized (DEX) like Pancakeswap. How it works? -> https://www.theancientbabylonians.com/what-is-liquidity-pool-lp-in-defi/
Binance smart tokens (BSC) can have some specific redistribution functions (tokenomics). There is for example tokenomics of Safemoon: https://www.safemoon.education/post/safemoon-tokenomics-explained

So I know that if there is less of token1 thank BNB in Liquidity pool, token1 will be more expensive. But If token1 will be added to liquidity pool, without adding BNB, ration will change, so token1 could have less price probably. So I don´t know why many tokens have distribution to liquidity pool in tokenomics.