1(self.webpackChunk_N_E=self.webpackChunk_N_E||[]).push([[487],{4074:function(e,t,n){(window.__NEXT_P=window.__NEXT_P||[]).push(["/faq/fees",function(){return n(9150)}])},9150:function(e,t,n){"use strict";n.r(t),n.d(t,{__toc:function(){return c}});var o=n(5893),i=n(2673),a=n(3393),s=n(8426);n(3150),n(9128);var r=n(2643);let c=[{depth:2,value:"How much do I have to pay in fees?",id:"how-much-do-i-have-to-pay-in-fees"},{depth:2,value:"I'm adding collateral just to improve my position's health factor on Aave. Is there a fee for this?",id:"im-adding-collateral-just-to-improve-my-positions-health-factor-on-aave-is-there-a-fee-for-this"},{depth:2,value:"Do I have to pay fees when reducing or closing my position?",id:"do-i-have-to-pay-fees-when-reducing-or-closing-my-position"}];function _createMdxContent(e){let t=Object.assign({h1:"h1",p:"p",strong:"strong",a:"a",code:"code",h2:"h2",ul:"ul",li:"li"},(0,r.a)(),e.components);return(0,o.jsxs)(o.Fragment,{children:[(0,o.jsx)(t.h1,{children:"Fees"}),"\n",(0,o.jsxs)(t.p,{children:["\uD83D\uDEA8 ",(0,o.jsx)(t.strong,{children:"Note:"})," To obtain the current fee rate, call ",(0,o.jsx)(t.a,{href:"/technical-docs/contracts/fee-collector#feeRate",children:"feeRate"})," on the ",(0,o.jsx)(t.code,{children:"FeeCollector"})," smart contract. The fee rate when this document was written was 0.3%. Hence, a 0.3% fee rate is used throughout this document for simplicity. This fee will not change often, and any changes must undergo governance voting."]}),"\n",(0,o.jsx)(t.h2,{id:"how-much-do-i-have-to-pay-in-fees",children:"How much do I have to pay in fees?"}),"\n",(0,o.jsx)(t.p,{children:"Users only pay fees when increasing their position or when adding leverage to their position."}),"\n",(0,o.jsx)(t.p,{children:"When increasing a position, the maximum fee that users will pay is 0.3% of the collateral amount supplied in that transaction."}),"\n",(0,o.jsx)(t.p,{children:"When adding leverage to a position, the maximum fee that users will pay is 0.3% of the amount borrowed in that transaction."}),"\n",(0,o.jsxs)(t.p,{children:["Users interacting with the Pesto protocol through a client may get discounts, as ",(0,o.jsx)(t.a,{href:"/references/glossary",children:"client operators"})," earn a share of the protocol fees and may offer incentives by forgoing some of their earnings in favor of their users."]}),"\n",(0,o.jsxs)(t.p,{children:[(0,o.jsx)(t.strong,{children:"Example:"})," If the current client rate is 30%, this means that a client can earn 30% of the maximum fee. However, a client can opt to only keep 90% of those earnings by setting their take rate to 90%. The remaining 10% of that client's earnings is applied as a discount to the total fees their users are required to pay. This would mean that:"]}),"\n",(0,o.jsxs)(t.ul,{children:["\n",(0,o.jsx)(t.li,{children:"Users of that client pay a fee of 0.291% instead of 0.3%."}),"\n",(0,o.jsxs)(t.li,{children:["The 0.291% fee collected is distributed as follows:","\n",(0,o.jsxs)(t.ul,{children:["\n",(0,o.jsx)(t.li,{children:"The utilized client keeps 0.081%."}),"\n",(0,o.jsx)(t.li,{children:"The protocol keeps 0.21%."}),"\n"]}),"\n"]}),"\n"]}),"\n",(0,o.jsx)(t.p,{children:"These fees are expressed as a percentage of the collateral amount supplied when increasing a position or the amount borrowed when adding leverage to a position."}),"\n",(0,o.jsxs)(t.p,{children:["For a detailed breakdown of how fees are calculated, refer to the ",(0,o.jsx)(t.a,{href:"/technical-docs/fees",children:"Technical Docs"}),"."]}),"\n",(0,o.jsx)(t.h2,{id:"im-adding-collateral-just-to-improve-my-positions-health-factor-on-aave-is-there-a-fee-for-this",children:"I'm adding collateral just to improve my position's health factor on Aave. Is there a fee for this?"}),"\n",(0,o.jsxs)(t.p,{children:["No. There are only two functions on the ",(0,o.jsx)(t.code,{children:"Position"})," smart contract that collect fees: ",(0,o.jsx)(t.a,{href:"/technical-docs/contracts/position#add",children:(0,o.jsx)(t.code,{children:"add"})}),", which increases the position size, and ",(0,o.jsx)(t.a,{href:"../technical-docs/contracts/position#addleverage",children:(0,o.jsx)(t.code,{children:"addLeverage"})}),", which adds leverage to the position using the base token balance."]}),"\n",(0,o.jsx)(t.h2,{id:"do-i-have-to-pay-fees-when-reducing-or-closing-my-position",children:"Do I have to pay fees when reducing or closing my position?"}),"\n",(0,o.jsx)(t.p,{children:"No. Fees are collected only when increasing a position's size or whehn adding leverage to a position."})]})}let d={MDXContent:function(){let e=arguments.length>0&&void 0!==arguments[0]?arguments[0]:{},{wrapper:t}=Object.assign({},(0,r.a)(),e.components);return t?(0,o.jsx)(t,{...e,children:(0,o.jsx)(_createMdxContent,{...e})}):_createMdxContent(e)},pageOpts:{filePath:"pages/faq/fees.mdx",route:"/faq/fees",timestamp:1711843703e3,pageMap:[{kind:"Meta",data:{index:"Introduction",faq:"FAQ","technical-docs":"Technical Docs",tutorials:"Tutorials",references:"References"}},{kind:"Folder",name:"faq",route:"/faq",children:[{kind:"Meta",data:{general:"General",fees:"Fees"}},{kind:"MdxPage",name:"fees",route:"/faq/fees"},{kind:"MdxPage",name:"general",route:"/faq/general"}]},{kind:"MdxPage",name:"index",route:"/"},{kind:"Folder",name:"references",route:"/references",children:[{kind:"Meta",data:{addresses:"Deployed Addresses",glossary:"Glossary"}},{kind:"MdxPage",name:"addresses",route:"/references/addresses"},{kind:"MdxPage",name:"glossary",route:"/references/glossary"}]},{kind:"Folder",name:"technical-docs",route:"/technical-docs",children:[{kind:"Meta",data:{contracts:"Contracts",fees:"Fees"}},{kind:"Folder",name:"contracts",route:"/technical-docs/contracts",children:[{kind:"Meta",data:{"position-factory":"PositionFactory",position:"Position","fee-collector":"FeeCollector"}},{kind:"MdxPage",name:"fee-collector",route:"/technical-docs/contracts/fee-collector"},{kind:"MdxPage",name:"position-factory",route:"/technical-docs/contracts/position-factory"},{kind:"MdxPage",name:"position",route:"/technical-docs/contracts/position"}]},{kind:"MdxPage",name:"contracts",route:"/technical-docs/contracts"},{kind:"MdxPage",name:"fees",route:"/technical-docs/fees"}]},{kind:"Folder",name:"tutorials",route:"/tutorials",children:[{kind:"Meta",data:{foundry:"Using Pesto via Foundry"}},{kind:"MdxPage",name:"foundry",route:"/tutorials/foundry"}]}],flexsearch:{codeblocks:!0},title:"Fees",headings:c},pageNextRoute:"/faq/fees",nextraLayout:a.ZP,themeConfig:s.Z};t.default=(0,i.j)(d)},8426:function(e,t,n){"use strict";var o=n(5893);n(7294);let i={project:{link:"https://github.com/chainrule-labs/pesto-contracts"},docsRepositoryBase:"https://github.com/chainrule-labs/pesto-docs",editLink:{component:null},sidebar:{defaultMenuCollapseLevel:1},footer:{text:"\xa9 2024 Chain Rule, LLC"},useNextSeoProps:()=>({titleTemplate:"Pesto - %s",description:"Pesto is a minimalist, on-chain DeFi protocol that enables users to create independent positions with varying degrees of exposure and hedging strategies.",openGraph:{title:"Pesto",description:"Pesto is a minimalist, on-chain DeFi protocol that enables users to create independent positions with varying degrees of exposure and hedging strategies.",url:"https://docs.pesto.finance",type:"website",images:[{url:"https://docs.pesto.finance/seoCard.png",alt:"og-seo-card-image"}],site_name:"Documentation"},twitter:{title:"Pesto",description:"Pesto is a minimalist, on-chain DeFi protocol that enables users to create independent positions with varying degrees of exposure and hedging strategies.",cardType:"summary_large_image",images:[{url:"https://docs.pesto.finance/seoCard.png",alt:"twitter-seo-card-image"}],site:"@pestofinance"}}),head:(0,o.jsxs)(o.Fragment,{children:[(0,o.jsx)("meta",{name:"viewport",content:"width=device-width, initial-scale=1.0"}),(0,o.jsx)("link",{rel:"icon",href:"/favicon.ico"})]}),logo:(0,o.jsxs)(o.Fragment,{children:[(0,o.jsx)("img",{src:"/iconPesto24x24.svg",alt:"Pesto",width:24,height:24}),(0,o.jsx)("span",{style:{marginLeft:".4em",fontWeight:800},children:"Pesto"})]})};t.Z=i},5789:function(){}},function(e){e.O(0,[774,399,888,179],function(){return e(e.s=4074)}),_N_E=e.O()}]);
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