Vaults

Vaults are smart contracts that automatically manage the tax revenue collected from a token's trades and transfers. When a creator enables the Tax Token feature, they can optionally attach a Vault to control how a portion of that tax is used — whether for buyback & burn, dividends, social gifting, or multi-party revenue sharing.

Each Vault type offers a different strategy for managing the collected tax:

Vault Type
Strategy
Summary

Buyback & Burn

All tax revenue is used to buy back and permanently burn tokens, creating continuous deflation.

Burn-to-Earn

Starts with buyback & burn, then transitions to a dividend model where holders burn tokens to earn a share of future tax revenue.

Social Gifting

A designated X (Twitter) account controls where tax revenue is directed. If inactive for 7 days, the vault falls back to buyback & burn.

Revenue Sharing

Tax revenue is automatically distributed among up to 10 recipients based on pre-configured percentage shares.


How Vaults Are Created

Vaults are created automatically when a token is launched with the appropriate tax configuration. The Vault type is selected during token creation in both Standard and Advanced modes.

Once created, the Vault type and its parameters cannot be changed.


Common Concepts

Buyback & Burn

Several Vault types use a buyback & burn mechanism:

  1. Tax revenue (in the payment token, e.g. ETH) accumulates in the Vault.

  2. A Keeper Bot periodically triggers a buyback — purchasing the token from Uniswap V2.

  3. The purchased tokens are sent to 0x...dEaD and permanently removed from circulation.

This creates a deflationary pressure: the more trading activity, the more tokens are burned.

Keeper Bots

Keeper Bots are automated services that trigger Vault operations (buybacks, distributions, state transitions). They run in the background and require no action from creators or holders.

Emergency Safeguards

All Vaults include safety mechanisms:

  • Reentrancy protection to prevent exploits.

  • Slippage protection on buyback operations.

  • Emergency withdrawal for the platform to recover stuck funds without affecting user balances.

  • Token rescue to recover mistakenly sent ERC-20 tokens (the Vault's own token cannot be rescued).

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