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Documentation Index

Fetch the complete documentation index at: https://docs.bound.xyz/llms.txt

Use this file to discover all available pages before exploring further.

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