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

# Token Economics

* **Token Burning for Domain Acquisition:** Upon the launch of the identity system, users can burn tokens to reserve unique xxx.bnsx.meme domains corresponding to xxx.btc addresses. The burning amount increases exponentially with shorter domain lengths.
  * Example: Registering a 3-character domain requires burning 10,000 tokens (10x10x10x10).
* **NFTs and Token Utility:** The acquired NFTs for domain reservation are perpetual and can be traded. Token burning and NFT transactions contribute to the overall economic activity of the BNSX ecosystem.
* **Annual Registration Fee:** BNSX introduces an annual registration fee for active DIDs. A portion of this fee is allocated to token buybacks and burning until the total circulation reaches 10.5 million tokens.


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