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description: Unique Auto-Liquidity Mechanism
---

# Dual Automatic Liquidity

CitySwap is the first Yield Farm & AMM on Binance Smart Chain that offer a **Dual Automatic Liquidity**. It is a creative mechanism create by the CitySwap Dev Team to raise the price floor continuously.

## How does it work ?

### 1. Automatic liquidity on token transfer

There is a 5% transfer tax on each CTYS transfer (send, swap, stake, etc ...). The 4% is automatically added to the liquidity pool via smart contract which allows to raise the price floor continuously.

### 2. Automatic liquidity on deposit fees

Applied to all farms/pools with an automatic liquidity option enable, 25% of deposit fees will be used to add liquidity automatically.

25% is the start value, you can see the percentage of Auto-Liquidity live on frontend :&#x20;

![The single pool USDT have a 25% automatic liquidity](https://3496959150-files.gitbook.io/~/files/v0/b/gitbook-legacy-files/o/assets%2F-McJCO3i0Uwk1rx1bKMq%2F-MctVI7dvmppR9bh7Yc8%2F-MctZqVzouotC-kOj_cE%2Fsingle.png?alt=media\&token=dc823304-a016-4550-ad79-be0bf8eaa50f)

Unlike the Automatic Liquidity on token transfer, this mechanism will use the 25% of the BEP20 liquified with CTYS token and add them directly to liquidity pool.
