> For the complete documentation index, see [llms.txt](https://bafex.gitbook.io/bafex/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://bafex.gitbook.io/bafex/tokenomics/staking/economy-protection.md).

# Economy protection

The rules described below determine the balance of short-term and long-term holders, maintain sufficient market liquidity, and support the growth of the **BAFEX** value.

* Limit: **No more than 50%** of the circulating supply can be **staked** at any one time. If this threshold is exceeded, the APY is automatically **reduced** to maintain economic balance. How? -**Dynamic APY throttle:** Once staking exceeds 50 % of circulating supply, the APY is **cut in half**. For every additional **1 billion BAFEX** locked thereafter, the APY is again reduced by 50 %, creating a stepped, automatic dampening curve that discourages over-concentration and keeps liquidity on the market.
* The annual emission on staking does not exceed 2% of the total volume, thereby preventing overheating of the tokenomics.
* If the system experiences overheating (due to excessive demand for staking), the DAO may temporarily lower the APY or impose additional restrictions on new stakes.
