Fees
During pod creation, the creator can tailor the pod's fees to their preferences. These adjustments affect how fees are managed and rewards are distributed.
Wrap Fee % The % of pod tokens collected as fees for wrapping assets to the pod.
Unwrap Fee % The % of pod tokens collected as fees for unwrapping assets from the pod.
Partner Fee Share A % of total fees (up to 5%) that are distributed as pod tokens to a specified wallet allocated by the creator of the pod.
Pod token Burn The % of total fees allocated to the burning of the pod token, with a maximum of 45%.
Add AMM Fees The % of fees applied to the buys & sells of the pod token done directly via Uniswap.
Higher pod fees lead to more tokens being burned and larger rewards being distributed per arbitrage. However, this could reduce arbitrage opportunities as arbitrageurs require greater price disparities to offset the higher fees to make profit. Conversely, lower pod fees result in fewer tokens being burned and smaller rewards distributed per arbitrage, but potentially increases arbitrage opportunities as smaller price differences are needed for profitable arbitrage.
Fee distribution
Total Fees * Burn Fee % = Amount of pod tokens burned Total Fees * Partner Fee % = Amount of pod tokens distributed to partner wallet Total Fees - (Burn+Partner fees) = Amount used to market buy $TREES => 90% of market bought $TREES will be distributed to pod LP's and 10% will be burned, making $TREES a deflationary asset.
Each time wrap and unwrap fees are collected from pod usage, burn fees and partner fees are deducted first. The specified percentage of pTKN is burned, and the designated percentage of pTKNs is distributed to the specified partner.
The remaining fees are converted to buy TREES. Of the TREES bought, 90% are distributed to the liquidity providers of the pod where the fees originated, while the remaining 10% are burned permanently.
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