Protocol fee
The fee carried by activity routed through the SODAX System. Fees collect in the Fee Treasury, where code splits them three ways: 60% liquidity inventory, 20% programmatic buy-back and burn, 20% staking pool.
What it refers to
The protocol fee is the fee carried by activity routed through the SODAX System. It is the price of liquidity access: integration and order flow carry no charge of their own. Quotes on cross-network fills additionally carry dynamic execution pricing for gas and routing, which varies with conditions and sits apart from the fee.
Where it goes
Fees collect in the Fee Treasury on the Hub, where code splits them three ways: 60% funds the liquidity inventory that admitted solvers draw on to fill, 20% funds the programmatic buy-back and burn, and 20% is directed to the staking pool, reflected in the xSODA to SODA exchange rate.