Fees
Stargate Transaction Fees/Rebates
In V1, Stargate charged a flat 6 bps fee for all transactions via V1 pools. In V2, with the help of the AI Planning Module (AIPM) Stargate V2 enables dynamic fees.
How the Transaction Fee/Rebate is calculated:
This refers to the difference between the input by the user on the source chain and the received amount on the destination chain.
Why rebates exist:
As mentioned, the AIPM is in charge of ensuring liquidity is evenly distributed among all Stargate pools based on their utilisation. When a specific pathway has seen high levels of demand and the pool's liquidity depletes, a rebate is offered to help rebalance the liquidity in the system.
Fee allocation breakdown:
veSTG Holders: 1/6 of all fees generated
Protocol treasury: 5/6 of all fees generated
Stargate Gas Fees
The Gas cost paid in the native gas token by the user entails payment for 2 things.
LayerZero's execution fee
Fee to the DVN for verifying the message between LayerZero endpoints
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