Fees
Last updated
Last updated
There are various fees in protocol. The exact amount charged depends on the market, the trade size etc. Perennial has engaged Gauntlet to help determine the best parameters for each market.
Some of the fees are the following:
Opening/Closing a Taker position
Funding rate on open positions
Opening/Closing a Maker position
Interest rate on Idle capital
If you are interested to see the live fees on any market, check out the Market Information section in the UI:
If you are interested in seeing all of the possible parameters, check out the Market Creation section.
The fees are dynamically calculated when opening a position. Its based on position's impact on skew among other factors. You will be able to see a break down of the fees on when entering a position.
Perennial aims to have a perfectly balanced Skew in every market. We achieve this by using a dynamic funding rate based on this parameter (See Funding Rate).
In addition, the protocol also charges a dynamic fee based on the impact your position would have on the market skew. The further the position pushes Skew up, the higher the fee. Conversely, when a position will reduce skew the fee is reduced.
