# Supply & Burn Mechanism ## PROTO Supply PROTO has no transaction swap fees. 10% of the total PROTO emission rewards will be distributed to the team for partnerships, giveaways, marketing, core team rewards and other development activities. PROTO emissions are affected by [Quantum Supply](/protofi-docs/new-elastic-supply-mechanism/elastic-supply-based-on-marketcap-tvl-ratio.md). * ~~**1.8% auto-burn mechanism for every PROTO transaction.**~~** No more applied in Fantom** * **Via** [**swapper**](https://protofi.gitbook.io/protofi-docs/electron-dividend-system/swapper) => swap ELCT for PROTO before the end of the 72h "*lockup period*" and a linear decaying penalty will be applied to the swap (**up to 30%**). * Via OTC Market => There is a 5% fee applied on each PROTO - ELCT transaction, and PROTO taken in fees are burned. ## ELCT Supply & Burn Mechanics ELCT has a built-in linearly decaying penalty that applies to swaps that utilize the [Swapper](/protofi-docs/electron-yield-system/swapper.md) function; **the max penalty on the swap is 30%**, and will be reduced to 0% over a period of seventy-two (72) hours. Moreover, ELCT taken in fees for each trade on the OTC Market are burned. ELCT emissions are affected by [Quantum Supply](/protofi-docs/new-elastic-supply-mechanism/elastic-supply-based-on-marketcap-tvl-ratio.md). ### --- # Agent Instructions: Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter: ``` GET https://protofi.gitbook.io/protofi-docs/what-makes-protofi-unique/supply-and-burning-mechanism.md?ask= ``` The question should be specific, self-contained, and written in natural language. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.