> For the complete documentation index, see [llms.txt](https://memeko.gitbook.io/memeko-docs/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://memeko.gitbook.io/memeko-docs/creator-fee-redirection.md).

# Creator Fee Redirection

Memeko allows token creators to decide how their token's trading tax is distributed. This gives creators flexibility to support themselves, reward eligible holders, fund token buybacks, and prepare for future liquidity needs.

This page explains how creator fee allocation works and what users should understand about it.

### 1. How Fee Allocation Works

When a creator launches a token, they configure how the creator's trading tax is divided among four destinations:

* **Creator Rewards** — funds allocated to the creator.
* **Buyback & Burn** — funds used to buy tokens and permanently remove them from circulation.
* **Holder Rewards** — funds allocated to eligible token holders.
* **Liquidity Support** — funds accumulated to support liquidity at graduation.

The allocation percentages must add up to 100%.

These allocations apply to the creator's trading tax, not Memeko's separate 1% platform protocol fee.

### 2. Choosing an Allocation

Creators can use a preset or configure a custom allocation.

For example, a creator who wants to prioritize holder rewards could choose the Community First preset:

| Destination       | Allocation |
| ----------------- | ---------- |
| Creator Rewards   | 0%         |
| Buyback & Burn    | 20%        |
| Holder Rewards    | 50%        |
| Liquidity Support | 30%        |
| **Total**         | **100%**   |

This is an allocation example from Memeko's documented presets. The final options should match the settings available in the live application.

### 3. Can the Allocation Be Changed After Launch?

The supplied project materials describe creators choosing their allocation during token creation. They do not clearly establish whether creators can change the allocation after launch.

Until this behavior is confirmed in the deployed contracts, users should review the displayed settings and avoid assuming that allocations can be changed later.

### 4. Where Does Each Allocation Go?

#### Creator Rewards

The configured share is assigned to the creator's reward balance. The creator can claim available rewards through the platform's supported claiming process.

#### Buyback & Burn

The configured share is used for the token buyback-and-burn mechanism. Purchased tokens are intended to be permanently removed from circulation.

#### Holder Rewards

The configured share is allocated to eligible holders according to the platform's reward rules. Eligibility may depend on the amount of tokens held and any minimum balance requirement.

#### Liquidity Support

The configured share accumulates to support liquidity when the token graduates from bonding curve trading to a supported decentralized exchange.

The actual execution and payout mechanisms depend on the deployed contracts.

### 5. Creator Tax Is Separate from Platform Fees

Memeko's documented fee structure has two separate parts:

1. **Platform protocol fee:** A fixed 1% on eligible buys and sells, allocated to the Memeko treasury.
2. **Creator trading tax:** A creator-configured tax distributed among the four destinations.

The creator's allocation settings control the distribution of the creator trading tax. They do not redirect Memeko's platform protocol fee.

Network gas fees are separate from both.

### 6. Important Notes

* Allocation percentages must total 100%.
* Each token's configured tax and allocation settings should be reviewed before trading.
* The allocation of fees does not guarantee a particular amount of rewards.
* Buybacks do not guarantee price increases.
* Holder rewards depend on the platform's eligibility and distribution rules.
* Liquidity Support does not guarantee sufficient liquidity after graduation.
* The final fee-routing behavior must match the deployed Elysium and LitVM smart contracts.

Memeko's fee allocation system is designed to make the intended destination of creator trading taxes clear to creators and their communities.