Additional fees for BabyDoge/SafeMoon
- A word about fees in Atomic Wallet
- Do the additional fees apply to swaps and purchases?
A word about fees in Atomic Wallet
Atomic Wallet does not charge any fees for sending or receiving crypto assets. Keep in mind, however, that you are still required to pay the network fee for every transaction you make in Atomic Wallet. The network fees are charged by the blockchain itself. Atomic Wallet cannot affect the amount that you have to pay and does not profit from network fees in any way. A detailed breakdown of how network fees work, along with a list of assets with the lowest fees is presented in this article: Does Atomic Wallet charge any extra transaction fees? Some assets, however, do have additional fees associated with them and we'll cover them in this article.
For each BabyDoge transaction a fee of 10% is charged. It is done as an incentive for holders of BabyDoge to hold their coins. 5% are redistributed to holders of BabyDoge and another 5% are added to the liquidity pool. The latter part is actually further split into two: 2,5% are staying in the pool as Baby Doge Coin and the other half is exchanged BNB. This is done to facilitate trading between two assets.
In short, every time someone else sells their BabyDoge, you get a small cut of that and when you sell it, other holders will receive a cut from that. Check the official documentation here. But BabyDoge was not the first coin to employ this approach.
SafeMoon V1, another BSC token, uses exactly the same principle. There is a 10% fee for every transaction that is then distributed among the holders (5%) and added to the liquidity pool (2,5% as SafeMoon and 2,5% as BNB). It is important to note, however, that the newer version - SafeMoon V2 has a slightly different fee structure. SFM V2 requires only a 2% fee for a wallet to wallet transaction. These 2% are then also distributed. 1% to all holders, 0.5% to Liquidity Pool (0.25%= BNB, 0.25%=SFM) = 0.5% SafeMoon Eco System. There is still, however a 10% fee for all trading operations with SFM. The distribution of these fees is as follows: 4% to all holders = 3% to Liquidity Pool (1.5%= BNB, 1.5%=SFM) = 2% to Burn = 1% SafeMoon Eco System Costs. Check this official document to learn more.
Do the additional fees apply to swaps and purchases?
The additional 10% fee does affect your swaps and purchases. The reason for that is the swap process or purchase itself. When you are swapping BabyDoge, you are essentially sending this coin to the address of our swap partner. The sending fee established by BabyDoge Foundation has to be paid for this transfer.