> For the complete documentation index, see [llms.txt](https://contact-101.gitbook.io/future/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://contact-101.gitbook.io/future/guides/future-token/trading-fees-explained.md).

# Trading Fees Explained

<mark style="color:green;">**Buy Trading Fees:**</mark>

2.0% - LP\
1.0% - CIF\
2% - Treasury\
1% - Burning Pit

<mark style="color:green;">**Sell Trading Fees:**</mark>&#x20;

3% - LP\
1% - CIF\
3% - Treasury\
1% - Burning Pit

![](https://2684151094-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FikHcyZWOnFGVX3TWiyGo%2Fuploads%2F5Vh14TwwOJZT2oK0D6NN%2Ftradingfees.png?alt=media\&token=70de7f48-7035-495f-b8dd-ae23b300bc20)

<mark style="color:green;">**Placement:**</mark>&#x20;

* **LP -** Trading fees goes to backing the liquidity of the **BNB/FUTURE** pair on PancakeSwap ensuring an ever-increasing collateral value of **$FUTR**. &#x20;
* **CIF -** Trading fees are stored in the **FUTURE** Insurance Fund which helps sustain and back the staking rewards provided by the positive rebase.
* **Treasury -** Trading fees go directly to the treasury which supports the SIF and provides a marketing budget for **FUTURE** and funds new product development.
* **Burning Pit -** 3% of all **$FUTR** traded are burnt in the Burning Pit. The more that is traded, the more get put into the fire causing the burning pit to grow in size, more and more through self fulfilling auto-compounding which in return acts to reduce the circulating supply of **$FUTR** and keeping the FUTURE protocol stable.