Buy Tax
A buy tax is a percentage a token contract takes from every purchase made from the liquidity pool.
Like a sell tax, the buy tax is applied inside the transfer logic, reducing the tokens you receive when buying from the pool. A high or owner-adjustable buy tax inflates your true entry cost and signals that the contract can be tuned against traders. Buy and sell taxes are often set independently, so both should be checked before trading.
Deep dive: Token Buy/Sell Tax & Modifiable Fees: The Soft Honeypot Risk →