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Protocol Parameters

Protocol Revenue
Below we share the sources of revenue for Perp88 and how they will be distributed to the different stakeholders. 
Revenue Source
Value
PLP Stakers
Development Fund
Description
Trading Fees (Leveraged Perp Trading)
0.09% of position size
85%
15%
The Trading Fee is incurred by the user every time they open or close a leveraged position. Perp88 currently charges 0.09% of position size at the time of position opening and closing per trade. 
Swap Fee 
Varies
85%
15%
The Swap Fee is incurred by the user every time they make a swap.

The fee depends on the differences between target weight and the actual weight of the assets you are swapping.
Borrowing Fee
Varies
85%
15%
The Borrowing Fee is charged on the size of the position of trader who opens the leveraged position. The Borrowing Rate is determined by the asset utilization rate and charged hourly.
Deposit Fee
Varies
85%
15%
The platform charges a variable deposit fee on PLP assets based on the asset remaining within the pool and the weight of the asset set by the protocol.
Withdrawal Fee
Varies
85%
15%
The platform charges a variable withdrawal fee on PLP assets based on the asset remaining within the pool and the weight of the asset set by the protocol.
Liquidation Fee
$5
0%
100%
Liquidation Fee is charged to cover the gas and operation cost when liquidating high-risk positions.
Borrowing Rate
Perp88 currently employs a single slope borrowing rate model. The Borrowing Rate on each asset is charged based on the asset's utilization, where the Max Borrowing Rate is charged at 100% utilization and linearly decreases to 0% Borrowing Rate per hour when the utilization is at 0%. Borrowing Fee is charged on an hourly basis.
#
Asset Type
Assets
Max Borrowing Rate per Hour
1
Stablecoin
USDC
0.0088%
2
Stablecoin
USDT
0.0088%
3
Volatile Asset
MATIC
0.0088%
4
Volatile Asset
BTC
0.0088%
5
Volatile Asset
ETH
0.0088%
You can find the plotted Borrowing Rate model in the chart below:
Note that all of the assets in PLP share the same Borrowing Rate model. 

Please also note Perp88 also implements a Dynamic Funding Rate on top of the Borrowing Rate. More details on the Dynamic Funding Rate here. 
PLP Assets & Target Allocation
#
Asset Type
Assets
Target Weight
1
Stablecoin
USDC
30%
2
Stablecoin
USDT
20%
3
Volatile Asset
MATIC
5%
4
Volatile Asset
BTC
20%
5
Volatile Asset
ETH
25%

Revenue Source	Value	PLP Stakers	Development Fund	Description
Trading Fees (Leveraged Perp Trading)	0.09% of position size	85%	15%	The Trading Fee is incurred by the user every time they open or close a leveraged position. Perp88 currently charges 0.09% of position size at the time of position opening and closing per trade.
Swap Fee	Varies	85%	15%	The Swap Fee is incurred by the user every time they make a swap. The fee depends on the differences between target weight and the actual weight of the assets you are swapping.
Borrowing Fee	Varies	85%	15%	The Borrowing Fee is charged on the size of the position of trader who opens the leveraged position. The Borrowing Rate is determined by the asset utilization rate and charged hourly.
Deposit Fee	Varies	85%	15%	The platform charges a variable deposit fee on PLP assets based on the asset remaining within the pool and the weight of the asset set by the protocol.
Withdrawal Fee	Varies	85%	15%	The platform charges a variable withdrawal fee on PLP assets based on the asset remaining within the pool and the weight of the asset set by the protocol.
Liquidation Fee	$5	0%	100%	Liquidation Fee is charged to cover the gas and operation cost when liquidating high-risk positions.

#	Asset Type	Assets	Max Borrowing Rate per Hour
1	Stablecoin	USDC	0.0088%
2	Stablecoin	USDT	0.0088%
3	Volatile Asset	MATIC	0.0088%
4	Volatile Asset	BTC	0.0088%
5	Volatile Asset	ETH	0.0088%

#	Asset Type	Assets	Target Weight
1	Stablecoin	USDC	30%
2	Stablecoin	USDT	20%
3	Volatile Asset	MATIC	5%
4	Volatile Asset	BTC	20%
5	Volatile Asset	ETH	25%

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Last modified 2mo ago