> For the complete documentation index, see [llms.txt](https://docs.xburn.win/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.xburn.win/about/publish-your-docs.md).

# XBURN Vault

Power the Vault: Burn, Earn and Watch XBURN Vault explode.

XBURN Vault is the magic behind XBURN tokenomics, that insures a perpetual auction with a deflationary token.

**XBURN Vault:**

 • **Source**: After the initial 10-day period, XBURN Vault is the exclusive source for auction tokens.

 • **Starting Supply**: XBURN Vault begins with zero tokens.

 • **Daily Auction**: 20% of the tokens in XBURN Vault are available for auction each day after Day 10.

 • **Token Entry**: Tokens enter XBURN Vault when purchased via XBURN Buy and Burn/Feed mechanism.

 • **Recycling Mechanism**: 55% of tokens acquired from the liquidity pool through BNB are sent to    XBURN Vault.

**Deflactionary Mechanism**:

 • **Buy and Burn Impact**: The daily buy and burn process reduces the number of tokens, decreasing the overall supply available for future auctions.

• **Permanent Supply Decrease**: This process ensures a permanent reduction in the total supply of XBURN tokens, making the token deflationary.

**XBURN Vault Game Theory**

• **Deflationary Auction System**: XBURN Vault allows the XBURN token to be deflationary while sustaining an auction system.

• **Arbitrage Incentives**: The auction system encourages arbitrage between the auction and the liquidity pool, as a massive proportion of system value is directed towards the buy and burn / feed XBURN Vault mechanism.<br>

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