> For the complete documentation index, see [llms.txt](https://financeprotocol-world.gitbook.io/finance-protocol-whitepaper/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://financeprotocol-world.gitbook.io/finance-protocol-whitepaper/finance-protocol-financial-token-usdfp/trading-fees-explained.md).

# Trading Fees Explained

**Buy Fees: 14%**

 • Liquidity Pool: 4%

 • Risk Insurance Fund (RIF): 5%

 • Finance Protocol Treasury: 2%

 • Finance Protocol Bank: 2%

 • The Bonfire: 1%

**Sell Fees: 17%**

 • Liquidity Pool: 4%

 • Risk Insurance Fund: 5%

 • Finance Protocol Treasury: 3%

 • Finance Protocol Bank: 2%

 • Reward FP NFT Holder: 2%

 • The Bonfire: 1%

**Placement:**

 • Liquidity pool - trading fees go to support the liquidity of the $FP/BNB pair on PancakeSwap, providing an ever-increasing value for $FP.

 • Risk Insurance Fund (RIF) - Trading fees are held in the RIF, which helps support the staking rewards provided by positive rebase.

 • Finance Protocol Treasury - Trading fees go directly to the Finance Protocol Treasury, which support RIF and provides the marketing budget and funds new product development.

 • The Bonfire - 2% of all sold $FP tokens are burned in the bonfire. The more traded, the more tokens are burned in the fire, thereby reducing the circulating supply of $FP tokens, and the cost of tokens remains unchanged, ensuring the stability of the project.