💰 Fees & Incentives: Sustaining the Protocol

• Solancer implements a transparent fee structure designed to sustain the protocol, reward participants, and incentivize efficient operations.

  • Minting Fee: A small fee (typically 0.1–0.3%) is applied during the minting process.

  • Redemption Fee: A fee (typically 0.1–0.2%) is applied only for "Balanced Redeem" mode.

  • Rebalancing Fee: This fee covers the underlying swap costs incurred during rebalancing and provides an incentive for the user who triggered the rebalance. A portion of this fee is given to the triggerer as a reward.

  Fees are distributed partially to the protocol treasury and partially to LFGO token stakers, aligning incentives with protocol growth and governance.