3

is it possible to create deflationary token on Solana? I was exploring transfer-hook, but the documentation has a note that says:

When the Token Extensions program CPIs to a Transfer Hook program, all accounts from the initial transfer are converted to read-only accounts. This means the signer privileges of the sender do not extend to the Transfer Hook program.”

Which means I cannot charge extra token on top of transfer amount to accommodate burn

Just want to get an idea if it’s possible and if yes, someone can point me in right direction that will be helpful.

Thank you

1
  • I don't know about that, but if it exists, it's great.
    – user18232
    Commented Jun 3 at 19:04

1 Answer 1

2

You can create a token with the "transfer fee" extension, and set the fee withdraw authority to the PDA for some simple program which allows anyone to withdraw and burn the fees on any account.

With this setup, you just need to regularly collect and burn fees on accounts.

Your Answer

By clicking “Post Your Answer”, you agree to our terms of service and acknowledge you have read our privacy policy.

Not the answer you're looking for? Browse other questions tagged or ask your own question.