10.2 Fee Routing and Ecosystem Incentives

To support long-term sustainability and ecosystem alignment, the Avao DEX applies a modest transaction fee to each trade. These fees are not distributed as profits or dividends, but are instead routed into predefined protocol mechanisms that support network participation, governance alignment, and ongoing infrastructure development.

Fee Structure

  • Initial Trading Fee: 0.5% per trade (applied across maker and taker activity)

Fee Allocation

  • 50% – Vault Emission Pool Routed into the Vault Emission Pool to support protocol-defined emissions that incentivize long-term participation, governance engagement, and network stability.

  • 50% – Avao Control Treasury Allocated for the maintenance, security, and continued development of Avao Chain–related products within Avao Suite and other user-facing infrastructure.

This routing model ensures that trading activity contributes directly to protocol-aligned incentives and ecosystem resilience, reinforcing sustainable network growth.

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