Fees
Protocol Fees
Trade Fees: the protocol charges maker and taker fees. To incentivize liquidity provision, maker fee rate can be negative, meaning that makers receive rebates when their pending orders are matched. Takers are paying for these rebates, being the side that is actually requesting the trade.
Liquidation Fees: the protocol charges a liquidated position a fee proportional to the liquidated size and credits it to the liquidator position, adding to its collateral directly. This fee is taken from the liquidated user's collateral or, in case of a bad debt scenario, from the insurance fund. A smaller fee on the liquidated position's pending orders at the moment of the liquidation is also charged (force cancel fee).
Insurance Fund Fees: everytime a successful liquidation is performed, a fee is paid to fill the insurance fund. This fee is directly taken from the position's collateral and deposited into the insurance fund.
Service Fees
Trade Fees: the spread between taker and maker fee rates is the charged service trade fee that is charged to use Aftermath Perpetuals. For example, if the maker fee is -0.015% and the taker fee is 0.025%, the spread collected by the protocol would be 0.01%.
Last updated