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All FAQs / What is the buyback mechanism, and why does it matter?
What is the buyback mechanism, and why does it matter?
Fractioned uses a portion of platform revenue to repurchase $FRAX tokens from the open market. These tokens may then be redistributed through ecosystem incentives or permanently removed from circulation.
This process ties token demand to real platform activity and helps support long-term scarcity dynamics, rather than relying on constant new token emissions to drive engagement.
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