> For the complete documentation index, see [llms.txt](https://diamond-bull.gitbook.io/diamond_bull/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://diamond-bull.gitbook.io/diamond_bull/fundamentals/5.-usddbt-token/5.2-buy-back-protocol.md).

# 5.2 Buy-Back Protocol

## **Buy-Back Protocol**

Our innovative buy-back protocol is designed to continuously reduce the circulating supply of tokens, potentially increasing the value of the remaining tokens over time:

* **Automated Smart Contract:** A portion of the trading fees is allocated to buy back Diamond Bull tokens from the market. This process is fully automated via a smart contract, ensuring transparency, consistency, and eliminating the need to trust any individual. The smart contract's automated nature guarantees that the buy-back process is impartial and reliable.
* **Supply Reduction:** The bought-back tokens are locked, effectively reducing the circulating supply. This constant reduction mechanism helps in maintaining a balanced demand-supply ratio, positively impacting token value.