> For the complete documentation index, see [llms.txt](https://empmoneyv2.gitbook.io/emp.money/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://empmoneyv2.gitbook.io/emp.money/protocol/upemp.md). # upEMP $upEMP Token, is a perpetually appreciating asset 100% backed by EMP. Imagine an asset that provides a great opportunity to earn real yield with no price depreciation, but actually only price appreciation!! All buys increase the price, but all sells do as well. Confusing at first glance, how can sells increase the price? Well, the fundamentals of $upEMP enable this with two very simple core mechanisms, the Mint and Redeem functions. ## Token Mechanics - Mint & Redeem Minting $upEMP can only be done through the dApp with EMP. All mints charge an 8% mint fee. Redemption can be considered selling $upEMP in an OTC (Over the Counter) direct exchange between the user and the protocol with no price impact beyond the Redemption Fee. All redemptions charge an 20% redemption fee. Sacrificing your $upEMP directly into EMP Fusion will result in **no fee.** ## Price Action Explanation The price of $upEMP is simply $EMP value of the backing treasury divided by circulating supply. An easy way to understand how the price can go up both on sells and buys (redemptions and mints) we can simply think of the treasury always having a net positive gain on each transaction. For a sell, more tokens are burnt than paid out for a net gain on treasury vs supply. For a buy, more $EMP is allocated to the treasury than tokens minted to circulation for a net gain as well. The net gain comes from the fees adding more to the backing treasury compared to the amount minted/paid out. \ upEMP Token - Additional Details The upEMP token is 100% Backed and will always have a backing. There are no algorithmic or inflationary mechanisms, as every token in circulation must be bought (minted). $upEMP tokens will always be redeemable for the price listed, minus the redemption fee. Both **Minting** (i.e.Buying) and **Redeeming** (i.e. Selling) through the Mint and Redeem contracts will cause price appreciation. There will be no capped supply. * Supply is determined by mint and redemption volume. * Minting increases supply. * Redemption reduces supply. * Redeemed $upEMP tokens are burnt/destroyed and removed from circulation. ### Fee Breakdowns **All mints charge an 8% mint fee**. 8% Broken down: -5.2% Collateralized backing of the token -2.1% Burn -0.7% Development Fee to UP Finance **Redemptions:** If redeeming directly, there will be a 20% redemption fee If redeeming by **sacrificing into Fusion**, there will be **0%** redemption fee. [Mint & Redeem Here](https://upemp.upfinance.io/) --- # Agent Instructions This documentation is published with GitBook. GitBook is the documentation platform designed so that both humans and AI agents can read, navigate, and reason over technical content effectively. Learn more at gitbook.com. ## Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter, and the optional `goal` query parameter: ``` GET https://empmoneyv2.gitbook.io/emp.money/protocol/upemp.md?ask=&goal= ``` `ask` is the immediate question: it should be specific, self-contained, and written in natural language. `goal` is optional and describes the broader end goal you are ultimately trying to accomplish on behalf of the user. GitBook uses it to tailor the answer towards what is most useful for that goal. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.