What is auto-burn, and should your token have it?

7 November 2026

Auto-burn means a small percentage of the tokens in every buy is destroyed for good. Over time the total supply shrinks, and every remaining token is a slightly bigger share of the whole.

How it works with a hook

When someone buys in your pool, the hook keeps a slice of the tokens they receive and sends it to a burn address, where nobody can ever move it. The buyer gets the rest. The percentage is fixed when the pool is created.

Pros

• Supply goes down as trading goes up, which holders like.
• Fully automatic and visible on-chain. No team action needed.
• Your token stays a normal token; the burn only happens on buys in your pool.

Cons

• Buyers receive a bit less, so keep it small.
• Burning doesn't create demand by itself. It works best alongside a real reason to hold.

Good settings

Most projects use 0.5% to 2% per buy. The builder allows up to 10%. You can combine it with LP rewards or a Treasury fee; the rulebook on the Create page shows the total each buyer pays.