Protocol Revenue

Sypher Finance Revenue Generation and Distribution

Sypher Finance generates revenue through various fees associated with its services, including:

• Position Fee for perpetual trading

• Liquidation Fee

• Dynamic Borrowing Fee (interest rate for leveraged/perpetual trading)

• Swap Fee LP

• Minting and Burning Fee (Tranches)

Revenue Distribution

The revenue collected from these fees is structured as follows:

• SLP Liquidity Providers: 45%

• Treasury: 50%

• Reserved for Development: 5%

This distribution model ensures that a substantial portion of the revenue is shared with both the DAO and liquidity providers, while also facilitating ongoing development and governance within the Sypher Finance ecosystem. This approach fosters a sustainable and incentivized environment for all stakeholders involved.