Revenue Streams

How does the protocol earn revenue?

1. Repayment Fees

Users pay a repayment fee equal to 0.5% of their debt when repaying their stablecoin debt to unlock the underlying collateral. This fee is denominated in the collateral token.
Example: A user has 100 USD worth of ETH and 50 gDAI (ghostDAI) in debt. They then repay 10 gDAI. The fee paid by the user would be 0.05 USD worth of ETH (10 gDAI * 0.5% fee).

2. Deposit Fees

Deposit fees are paid by users when they submit their liquidity pool (LP) tokens to participate in liquidity mining rewards. The fee is denominated in LP tokens and is equal to 0.5% of the LP token value.
Example: A user that provided 100 USD in liquidity will pay a 0.5 USD fee (100 USD * 0.5% fee) when depositing their LP tokens on the gDAI rewards page.

3. Swap Fees

There’s a 1% fee when minting gDAI with stablecoins or redeeming stablecoins from gDAI through Swap. As a result, the price to mint 1 gDAI is 1.01 accepted stablecoin and 1 accepted stablecoin can redeem 0.99 gDAI.
Example: A user swaps 100 USDC for gDAI on Swap. The user will receive 99 gDAI for this exchange (100 MAI - 100 * 1% fee).

Is there an interest rate fee?

No, there is no interest rate for borrowing gDAI.

How are revenues distributed?

30% of all revenue is distributed to ghoulX stakers. The rest of the revenue is held in the treasury.

Where are revenues stored?

Repayment revenue is stored in vault 0, deposit fees are stored in the treasury, and swap fees are stored in the Swap contract.

How can I track the Protocol’s revenue?

All revenue data can be seen in the Analytics page at app.ghoul.finance/analytics.
Last modified 2mo ago