Since launch, Alpaca Finance has adopted buyback & burn as a deflationary mechanism to increase ALPACA tokens long-term value. The portion of platform's revenue used for buyback & burn are:
1. Liquidation Fees - 4% (out of 5%) of all liquidation fees are used for buyback & burn of ALPACA tokens for the case of 3rd parties liquidation bots. In the case where liquidation is initiated by Alpaca's internal bot, all 5% of liquidation bounty goes to buyback & burn.
2. Lending Performance Fees - 10% (out of 19%) of the borrowing interest fees is used for buyback and burn of ALPACA tokens.
3. Alpies NFT Sales - 20% of the sales proceed will be used for buyback and burn.
4. Alpies NFT Royalty - 2.5% (out of 5%) of secondary Alpies' sales go towards buyback and burn.
5. AUSD Stability Fees - 50% of the stability fee go towards buyback and burn.
6. AUSD Auto-Farming Performance Fee - 5% (out of 9%) goes towards buyback and burn.
7. Automated Vault Management Fees - 50% of the management fee go towards buyback and burn.
8. Automated Vault Withdrawal Fees - 50% of the withdrawal fee go towards buyback and burn.
9. Governance Vault Early Withdrawal Fees - 50% of the withdrawal go towards burn.
Below is a record of every burn transaction we have initiated since launch: