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

# Tokenomics

$RAKE mechanics, fee distribution, and the $RAKE and $PONS burn flows.

RAKE tokenomics connect protocol activity to an onchain fee and burn flow. They are not presented as an isolated allocation model.

$RAKE launches on Pons V2 paired with ETH. Relevant protocol fees move through RakeVault during harvest. RakeVault then routes those fees using its fixed 70/15/15 mechanism.

```
Launchpad activity
    ↓
Fees enter RakeVault during harvest
    ↓
70% creator wallet | 15% $RAKE market buy and burn | 15% $PONS market buy and burn
    ↓
Burns sent to the dead address
    ↓
Onchain verification
```

### Fee path

Pons V2 charges a 1% fee per trade. Of that fee, 70% goes to the creator side and enters RakeVault. The remaining 30% goes to the Pons protocol.

RAKE only routes the creator-side portion after it enters RakeVault. It does not touch the 30% Pons protocol portion.

Within RakeVault, the distribution is automatic:

* **70%** goes to the creator wallet.
* **15%** market-buys and burns $RAKE.
* **15%** market-buys and burns $PONS.

The source specifies that this split cannot be changed. It also specifies that the owner cannot drain the vault.

### Harvest-linked burns

Burns result from harvest activity. Harvest pulls accumulated fees from relevant protocol sources into RakeVault. The vault applies the two 15% market-buy-and-burn allocations as part of the same distribution.

Purchased assets are sent to:

```
0x000000000000000000000000000000000000dEaD
```

This destination makes burn transactions independently verifiable onchain. The mechanism does not define a burn schedule, fixed burn quantity, or price outcome.

### Continue reading

Read [$RAKE](/rake/tokenomics/usdrake.md) for the token's supported protocol role.

Read [Fee Distribution](/rake/tokenomics/fee-distribution.md) for the fee-routing boundary and allocations.

Read [Burn Mechanism](/rake/tokenomics/burn-mechanism.md) for the harvest-to-burn execution path.


---

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