$1 you spend on a buy raises your income limit by $2. Every dollar of value you take out on a sell burns income limit — sometimes 1:1, sometimes pro-rata.
When your income limit hits zero, you cannot extract more value from the protocol until you buy again or redeem GWT for additional limit headroom.
This is the second core protective mechanic of the dpnm template (the first is the daily buy limit).
The math
Accrual
$FLOW the multiplier is 2. So a $50 buy raises your income limit by $100.
Burn on sell
Two cases, evaluated per sell transaction: Case A —value <= income_limit
$80 worth, you lose $80 of income limit headroom.
Case B — value > income_limit
In practice, the contract enforces this so that selling beyond your income limit returns less USDT than your tokens would otherwise be worth at current price. The “lost” value stays in the pool, raising price for everyone else.
Worked example
You buy$100 of $FLOW. Income limit goes from 0 to $200.
Price doubles. Your $FLOW is now worth $200.
Scenario 1: you sell half ($100 worth).
- Case A — value (
$100) ≤ income limit ($200). - You receive
$100 * 0.95 = $95USDT (10% sell fee, half retained in pool, half to treasury). - Income limit:
$200 - $100 = $100remaining.
$200 worth) immediately.
- Case A — value (
$200) = income limit ($200). - You receive
$200 * 0.95 = $190USDT. - Income limit:
0remaining.
$FLOW worth $300. You sell all.
- Case B — value (
$300) > income limit ($200). absorbed = 200,overflow = 100,penalty = 100 * (100/300) = $33.33.- Effective value out (before sell fee):
$300 - $33.33 = $266.67. - After sell fee
10%: you receive~$240. - Income limit:
0.
$33 penalty stays in the pool, growing price for the next buyer.
Why this exists
Without an income limit, a single early buyer could ride the price-only-goes-up curve forever and capture all future gains. The limit caps any individual position’s lifetime extraction at2x of capital deployed — meaning later buyers always have room to earn.
Combined with the daily buy limit, this turns the closed system into a fair-issuance economy: you can keep buying to keep earning, but each new dollar in opens new headroom.
Income limit redemption via GWT
If you want to keep earning past your1:2 cap without buying more $FLOW, you can redeem GWT (the fee-compensation token) for income limit:
Reading your income limit
incomeLimit in USDT-denominated units.