Fee Distribution

Nabla generates fees based on liquidity usage, levying a fee on every swap. These are currently split in the following way (details depend on the chain and the respective Swap Pool): - 20-30% go to the LPs of the respective Swap Pool - 40-80% go to the LPs of the associated Backstop Pool - 0-30% are being deducted as protocol fees The deducted protocol fees may be used e.g. to:

  • buy back $NABLA to increase the treasury holdings

  • buy back $NABLA and use it to increase the liquidity in the $NABLA-$ETH pool

  • buy back $NABLA and distribute it amongst stakers

  • deposit protocol-owned liquidity into the Backstop Pools

  • finance gas and infrastructure costs and further protocol development

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