💵Transaction Fees

Lending Transaction Fee

Formula:

Lending transaction fee rate = APR × Lending Fee Rate × (days to maturity/365)

Lending transaction fee = lending transaction fee rate × lend amount

Currently, the Lending Fee Rate is 2%. This rate is determined by the TermMax protocol.

Example: If the lending rate (APR) is 10% and the lend amount is 1,000 USDC with 365 days to maturity:

  • Lending Fee Rate = 10% × 2% × (365/365) = 0.2%

  • Fee = 0.2% × 1000 = 2 in unit of FT

Borrowing Transaction Fee

Formula:

Borrowing transaction fee rate = [GT Minting Reference Rate × GT Minting Fee Rate + matched borrow rate × Borrowing Fee Rate] × (days to maturity/365)

Borrowing transaction fee = borrowing transaction fee rate × borrowed amount

Currently:

  1. The Borrowing Fee Rate is 3%

  2. GT Minting Reference Rates:

    1. Stablecoins: 6% (Subject to prevailing market conditions from time to time)

    2. Non-Stablecoins: 3%

  3. GT Minting Fee Rate: 10%

Example: If the matched borrow rate is 6% and the borrowed asset is 1,000 USDC with 90 days to maturity:

  • Borrowing transaction fee rate = [6% × 10% + 6% × 3%] × (90/365) = 0.246575% + 0.04438% = 0.1923%

  • Borrowing transaction fee = 0.1923% × 1,000 = 1.923 in unit of FT

Leverage Transaction Fee

Formula: The leverage transaction fee rate is identical to the borrowing transaction fee rate.

Total borrowing amount = input amount × (leverage multiplier - 1)

Leverage transaction fee = total borrowing amount × borrowing transaction fee rate

Example: With a borrowing transaction fee rate of 0.1923%, an input amount of 1,000 USDC, and a leverage multiplier of 4.8:

  • Leverage transaction fee = 1,000 × (4.8 - 1) × 0.1923% = 7.3074 in unit of FT

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