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This page explains how fees work on Bound, who earns them, and when they apply. Fees are designed to align projects, participants, and the platform — not to maximize extraction.

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Overview

Bound may charge fees related to:
  • Binding tokens
  • Distributing rewards
  • Promoting hubs
Fee structure varies by hub tier and is enforced by smart contracts.

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Deposit Fees

A deposit fee may apply when users bind tokens to a hub. Deposit fees:
  • Are calculated as a percentage of the bound token amount
  • Are defined within fixed ranges enforced by smart contracts
  • May be configurable by hub owners, depending on tier

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Who Earns Deposit Fees

Depending on the hub tier:
  • A portion of deposit fees may go to Bound
  • A portion may be shared with the hub owner
  • In some tiers, hub owners may receive none or all of the deposit fees
Deposit fees are incurred at the time of binding and are non-refundable.

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Performance Fees

A performance fee may apply to rewards distributed through a hub. Performance fees:
  • Are calculated as a percentage of rewards distributed
  • Apply only when rewards exist
  • Are enforced automatically by smart contracts
Performance fee rates vary by hub tier.
Hubs may optionally pay for featured placement on the platform. Featured spots:
  • Increase hub visibility
  • Are time-limited
  • Do not affect rewards or binding mechanics
Featured placement does not imply endorsement by Bound.

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What Fees Do Not Do

Fees do not:
  • Give hub owners custody of user funds
  • Guarantee rewards or outcomes
  • Change binding or unbinding rules
  • Affect reputation or status logic
Fees relate only to economic flows.

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Transparency & Enforcement

All fees:
  • Are disclosed before transactions occur
  • Are enforced by smart contracts
  • Cannot be changed retroactively
Users should review fee details before binding or claiming rewards.

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Design Intent

Fees are intended to:
  • Support long-term platform sustainability
  • Allow projects to monetize commitment responsibly
  • Avoid hidden or surprise costs
Clear economics build trust.

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In Summary

  • Deposit fees apply when binding
  • Performance fees apply when rewards are distributed
  • Featured spots affect visibility only
  • Fee ranges and logic are enforced on-chain