💎Fees Distribution

In the world of derivatives trading, fees are the main source of protocol revenue. In blockchain-based derivatives exchanges, democratization takes center stage as these platforms introduce a way for everyone to provide liquidity and participate in revenue split. Here, we'll explore how the Storm handles this democratization, empowering both liquidity providers and token stakers to participate actively in the evolving financial ecosystem.

Revenue Distribution

A protocol incurs the following fees on trading:

  • Trading fees (open/close fees)

  • Excess funding fees

  • Liquidation penalties

  • Rollover fees

Out of those, trading fees are also used to incentivize referrers who help attract new users to the platform. All fees are participating in fee split between (e)STORM token stakers and Liquidity Providers. Specifically, 30% of the fees are allocated to STORM token stakers. The remaining 70% of fees are directed towards liquidity providers who contribute to the market's depth.

Read more about the protocol and the blockchain fees by the link.

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