<p>I know that royalties can be set for NFT projects. I haven't yet seen royalties set for fungible tokens, but I don't see why it wouldn't be possible. What you're proposing sounds like a 1% royalty.  You may find some good information here: <a href="https://github.com/cardano-foundation/CIPs/pull/116/files" rel="nofollow noreferrer">https://github.com/cardano-foundation/CIPs/pull/116/files</a></p>

CC BY-SA 4.0
2022-03-02T23:27:13.440Z
Ah, excellent, the ground work seems to come into existence then.
Johannes Ernst
CC BY-SA 4.0
2022-03-02T23:07:12.620Z
2022-03-02T23:07:12.620Z
FungiPool
<p>To fund the &quot;commons&quot; for some community with some token T, it might make sense to &quot;tax&quot; transactions within this community, similarly to how a gas fee funds the operations of the underlying blockchain, or how a town raises money for the fire department through a sales tax on retail transactions.</p>
<p>The idea is that if A sends 100 T tokens to B, say 1 of those gets sent to C (the commons) and only 99 arrive with B. I would want this to be automated, so that within that community, nobody can cheat.</p>
<p>Can I do this with a native token? If so, how?</p>

<smart-contract><token>
Automatically "taxing" native token transactions
# Automatically "taxing" native token transactions

(Asked by: username_0 on 2022-03-02)

To fund the "commons" for some community with some token T, it might make sense to "tax" transactions within this community, similarly to how a gas fee funds the operations of the underlying blockchain, or how a town raises money for the fire department through a sales tax on retail transactions.

The idea is that if A sends 100 T tokens to B, say 1 of those gets sent to C (the commons) and only 99 arrive with B. I would want this to be automated, so that within that community, nobody can cheat.

Can I do this with a native token? If so, how?

**Tags:** smart-contract, token

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## 1 answers

### Answer by username_1 on 2022-03-02. Score: 2

I know that royalties can be set for NFT projects. I haven't yet seen royalties set for fungible tokens, but I don't see why it wouldn't be possible. What you're proposing sounds like a 1% royalty. You may find some good information here: <https://github.com/cardano-foundation/CIPs/pull/116/files>

> **Comments:**
> **username_0**: Ah, excellent, the ground work seems to come into existence then.  

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