Last updated
Last updated
Any time a user borrows or lends spot in a fixed rate pool or limit order tick he pays a fee. The fee corresponds to the tick_spacing parameter. The fee is substracted from the tick interest rate on lend trades and is added on borrow trades. For example, if the current rate is 5% and the tick_spacing is 0.25% borrowers will effectively borrow at 5.25% and lenders will lend at 4.75%.
Limit order users will not pay any fees on their borrow or lend transactions. Only spot lenders and borrowers pay fees since they act as liquidity takers.
Fees paid by spot lenders and borrowers are split between the market's LPs and the market creator. The fee split between LPs and the market creator is determined by the curator_fee_share parameter. Part of the market curator fees are subject to a protocol fee share.
