Primary Dealers (PDs)

Those users who would like to be Primary Dealers need to register with Term Structure Labs and obtain approval. Primary Dealers need to meet the criteria below to receive 100% ofrebates and Primary Dealers' Incentives and, if failed, will fall back to Premier Users receiving respective rebates and incentives or general users without any.

Criteria for Primary Dealers and the rebates and incentives will be adjusted from time to time in coordination with the community and the protocol's development.

Primary Dealers Requirements

tToken Markets

In tToken Markets, Primary Dealers need to have a trading volume no less than 5% of total market volume or USD 5 million in any given calendar month. Primary Dealers need to keep their market-making two-way prices within the PD Bid/Ask Spread on the Term Structure platform for at least 8 hours a day from UTC 00:00:00 till UTC 23:59:59 and 20 days a calendar month for at least 3 types of underlying tokens including ETH, wBTC, and one of the stablecoins (USDT, USDC, DAI).

PD Bid/Ask Spread

The PD Bid/Ask Spread for all 5 tokens are listed below.

Tenor	PD Bid/Ask Spread
less than 3 months	0.5%
between 3 to 12 months	1.0%

Primary Dealers Incentives

Primary Dealer Incentives will be paid to any Primary Dealer who meets the criteria for the tToken Markets in any given calendar month.

Fixed-Rate Borrowing/Lending

In Fixed-Rate Borrowing/Lending, Primary Dealer will receive an incentive of 100% rebate of the fee paid to Term Structure minus all minimum fee charges for all transactions in Fixed-Rate Borrowing/Lending for being a borrower or a lender for that calendar month.

tToken Markets

In tToken Markets, Primary Dealers will receive an incentive of 100% rebate of the fee paid to Term Structure plus up to 50% of the market takers’ fees paid to Term Structure for those trades dealt with respective Primary Dealers for that calendar month.

Repo Markets

In Repo Markets, Primary Dealers will receive an incentive of 100% rebate of the fee paid to Term Structure plus up to 50% of the market takers’ fees paid to Term Structure for those trades dealt with respective Primary Dealers for that calendar month.

All the incentives of any given calendar month will be paid on 5th day of the next calendar month.