Fee Tier for Token Pairs
At Turbos Finance, we've reimagined concentrated liquidity AMM to be more user-friendly and cost-effective compared to traditional DEX or CEX.
As traders, you won't need to pay any deposit or withdrawal fees. You only pay a minimal trading fee of 0.1%.
For liquidity providers, Turbos has an established fee tier. In simpler terms, when you're providing liquidity with tokens that don't move in correlation, it's better to choose higher fee tiers. This helps reduce the risk of losing value due to price differences between the tokens.
LP | Fee Structure | Description |
---|---|---|
Stable pairs | 0.01% | Best suited for token pairs with high correlation or those that tend to trade at a fixed rate, like stablecoin pairs (e.g., USDT-USDC). These pools involve low price risk for liquidity providers, and traders anticipate lower fees. |
Most pairs | 0.3% | Suitable for token pairs with lower correlation, like the SUI-USDC pair, which can experience substantial price swings in either direction. The higher fee is intended to reward liquidity providers for the increased price risk they assume compared to stablecoin LPs. |
Exotic pairs | 1% | Most appropriate for token pairs with even lower correlation, like the SCB-TURBOS pair, which can experience significant price fluctuations in both directions. This elevated fee aims to adequately reward liquidity providers for the increased price risk they undertake compared to stablecoin LPs. |
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