> ## Documentation Index
> Fetch the complete documentation index at: https://docs.basestonk.io/llms.txt
> Use this file to discover all available pages before exploring further.

# Dividends, buybacks & burns

> A launch's tax can work for its holders automatically - on-chain, not on trust.

Advanced launches split their trade tax into *wedges*. Each wedge runs
inside the trading machinery itself - none of them is a bot that can be
switched off.

## Holder dividends

A rewards wedge routes part of every trade's tax to a distributor contract
that pays **every holder pro-rata, in the pair currency** - USDC, ETH, or
whatever the token is paired with. Not in more of the token.

* Payouts push automatically as people trade. There is nothing to claim.
* Your own running total shows on the token's page when your wallet is
  connected.

## Buyback & burn

A burn wedge spends its share of every trade buying the token back from
its own pool and sending it to the burn address - **in the same
transaction as the trade that funded it**.

Every burn is a public on-chain event. The token page shows the cumulative
amount burned and bought back under *Tokenomics*.

## Liquidity

A liquidity wedge deepens the token's own pool with its share of the tax,
raising the floor under later sellers.

## Max wallet

A launch can cap how much any one wallet may hold:

* **Buys** that would breach the cap revert.
* **Sells are never blocked** by it, whatever a holder owns.
* The creator and the pool itself are exempt so the mechanics keep
  working.

<Note>
  B20-mode launches ship without max wallet and without holder dividends -
  the chain-native standard has no room for them. Tax, buyback & burn and
  fee splits work unchanged. See [B20 mode](/b20-mode).
</Note>