TOKI Fee
What is TOKI Fee
TOKI Fee is the toll paid for using the TOKI Bridge. It is paid in the selected Source Token (deducted from your token amount), which is pooled and then redistributed to various stakeholders (see below)
TOKI Fee is composed of 3 elements:
Transaction Fee
Rebalance Fee
Drift Fee
Transaction Fee
The Default Transaction Fee for executing a cross-chain transaction is 10bps.
For small transaction amounts, Minimum Transaction Fee is applied:
$0.25 for USDC/T transfers under $250 equivalent.
0.0001 ETH for ETH transfers.
Rebalance Fee
In case your transaction volume leads to significant depletion of the token pools, you'll be charged an additional Rebalance Fee.
On the other hand, if your transaction leads to replenishing of the depleted token pools, a Rebalance Reward will be applied.
For more information regarding the Rebalance Fee and Reward, check Rebalance Mechanism page.
Drift Fee
Under regular operating conditions, this Fee does not occur.
When transferring a stablecoin via TOKI Bridge, you can choose to receive a different type of stablecoin on the Destination Chain, which is normally assumed to be of equal value. However, in volatile conditions sometimes the value of the stablecoin "drifts" from the peg. To compensate for that, a Drift Fee is applied in order to prevent losses to the Protocol.
Fee Distribution
Transaction Fees are pooled and distributed to the following stakeholders:
Protocol Treasury : 0bps
For the time being, in order to incentivize Liquidity Providers, Protocol Treasury will forego it's regular share of fees. Only a portion of Minimum Fees will be distributed to Protocol.
Liquidity Providers : 7bps
Liquidity Provider Distribution of Transaction Fees is calculated as Pool Rewards (Liquidity Yeild).
$TOKI Token Stakers: 0bps
Until $TOKI Token is launched and Staking function is enabled, Stakers share of the fee distribution will be redirected to Liquidity Providers instead.
Last updated