> For the complete documentation index, see [llms.txt](https://martianswap.gitbook.io/martianswap/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://martianswap.gitbook.io/martianswap/tokenomics/auto-liquidity-mechanism.md).

# Auto Liquidity Mechanism

As mentioned previously, there is a 5% transfer tax on each transaction, the ~~4%~~ 3% transfer tax will be added to the MARTIAN-BNB liquidity pool through the contract automatically.&#x20;

Unlike other farms before, in MartianSwap each transfer of MARTIAN must pay a 5% transfer tax. The ~~4%~~ 3% transfer tax gets added back to the liquidity pool through the contract automatically to raise the MARTIAN price floor continuously. And the liquidity will be locked and inaccessible.

This is an innovative feature of MARTIANSWAP, combined with an [auto-burn](/martianswap/tokenomics/auto-burn-mechanism.md) features, which will encourage users to hold the token for long term benefits.<br>


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