> For the complete documentation index, see [llms.txt](https://docs.sectorone.xyz/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.sectorone.xyz/tokenomics/dex-economics.md).

# | DEX Economics

<figure><img src="/files/7Imwu32yJVZE8LTpc8VY" alt=""><figcaption></figcaption></figure>

{% hint style="warning" %}
DISCLAIMER: \
The following information regarding the DEX Economics will only apply AFTER the $ONE token launch. \
At this time, NO date has been set for the $ONE Pre-Sale or the public launch of the $ONE token. \
For the current DEX fee distribution please view: [DLMM Earnings](/tokenomics/dex-economics/dlmm-earnings.md).
{% endhint %}

The token economy is a central component of a DEX and a key factor in its long-term success or failure. \
\
The **$ONE token is the native Reward and Governance Token of SectorOne**, which can be earned through farming, via the initial $ONE Pre-Sale or by purchase. The central use case for $ONE is to stake it for real yield from protocol fees and to participate in the DEX governance.

### SectorOne Protocol Value Flow for the $ONE Token

<figure><img src="/files/g0xdfiKEDSck1kOvA0U7" alt=""><figcaption><p>DEX Value Flow of SectorOne on Base, MegaETH, and Ethereum.</p></figcaption></figure>

Every DEX has three main stakeholders.

1. **Liquidity Providers**
2. **Traders**
3. **DEX Token Holders**

SectorOne finds a unique balance between all three stakeholders for long-term sustainability. Liquidity Providers (LPs) earn 80% of the fees directly from all trading activity on SectorOne as well as $ONE tokens through DLMM farms and pools. Traders enjoy industry competitive, deep and efficient liquidity for trades. $ONE stakers earn 20% of all the fees earned across pools on SectorOne.

### Stake $ONE for Real Yield

$ONE can be staked for real yield from fees earned by the protocol through all trading activity on the DEX. Through a locking mechanism in the staking contract a multiplier is applied to the earned fees. The longer the locking period, the higher the multiplier to the staking rewards (max. 365 days = 3x multiplier).&#x20;
