Trading Fee

Drake charges a standard 0.1% fee on the notional value of each trade (order execution). This fee structure is designed to support the platform’s operations while rewarding liquidity providers and participants.

For example, if you're using 1000 USDC as collateral for a 10x trade, your total position size would be $10,000. The trading fee would be $10, reducing your collateral to $990. This fee is deducted from your original collateral rather than your position, ensuring you still maintain full exposure to the market based on your initial leverage while accounting for the costs of executing the trade.

VIP Level Discount

Drake offers a VIP program that provides discounts on commission fees for high-volume traders. The specific discount rates and criteria for VIP levels will be detailed in the VIP program documentation.

Fee Breakdown

Drake’s fee structure varies depending on whether a referral is involved in the trade.

Fee Without Referrer Breakdown

When no referral is associated with the trade, the commission fee is allocated as follows:

  1. Onchain Service Cost: 5% (Deducted First) A fixed 5% of the commission fee is allocated to cover onchain service costs, which include:

    • AA Wallet: Fees related to account abstraction wallets.

    • Chainlink Data Stream Price Verifications: Costs for accessing real-time price feeds.

    • Gas Costs: Transaction fees for liquidations and pending order executions.

  2. Profit for Drake Earn Vault Stakers: 95% * 70% The majority of the fee goes to Drake Earn Vault stakers, rewarding them for their contribution to the platform’s liquidity.

  3. Operational Fund: 95% * 30% A portion of the fee supports the operational needs of the Drake platform, including:

    • Cloud Service: Costs for maintaining the platform’s cloud infrastructure.

    • SaaS Services: Subscription fees for essential software tools.

    • Office Supplies / Salary: Expenses related to office operations and employee salaries.

Fee With Referrer Breakdown

When a referral is associated with the trade, the commission fee is distributed as follows:

  1. Onchain Service Cost: 5% (Deducted First) Before distributing the remaining fees, a fixed 5% is allocated to onchain service costs, with the remaining 95% divided among the above categories.

  2. Profit for Drake Earn Vault Stakers: 95% * 60% A significant portion of the fee still goes to Drake Earn Vault stakers, ensuring they continue to benefit from the platform’s growth.

  3. Referral Bonus: 95% * 20% 20% of the commission fee is allocated as a referral bonus, rewarding users or protocols that bring new traders to the platform.

  4. Team Operation Revenue: 95% * 20% This portion supports the operational aspects of the platform, including:

    • Cloud Service

    • SaaS Services

    • Office Supplies / Salary

Future Plans

Drake plans to introduce additional rewards and profit-sharing mechanisms, including referral rewards and DAO staker profits, into the breakdown of commission fees. These enhancements will further incentivize community participation and support the platform’s decentralized governance.

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