What are buying taxes and selling taxes?

Buy taxes and sell taxes usually refer to the fees or tax rates charged to buyers and sellers during a transaction. These taxes will be transferred to the tax address/black hole address specified by the token developer at the time of each transaction. It aims to achieve specific economic or community goals through the tax mechanism. The implementation of buy taxes and sell taxes can effectively control market behavior, attract long-term investors, and provide sustainable financial support for the project. However, this mechanism will also increase the transaction costs of users. For example, by charging higher taxes, tokens can be prevented from being quickly traded at the opening. Or the sell tax can be increased to reduce the selling frequency of token holders to ensure the token price. Of course, there will be token issuers who rely on high buy and sell taxes to defraud users. When it comes to tokens with high tax rates, risk investigations must be done in advance.