# Costs and Fees

## **Costs**

Costs of infrastructure to operate and manage the bot are covered by the team. Costs associated with the lending and liquidations are covered by the pool.

**Covered by team:**

* Server costs
* RPC
* Services
* Staff (ops and dev)

**Covered by pool:**

* Solana transaction fees
* Solana prioritiy fees
* Swap fees
* Position open/closing fees
* Lending protocol fees (Sharky 16% of interest)
* Marketplace fees for liquidation (Tensor 1% fee)
* Royalty fees for sale of liquidated pNFTs

## **Perfomance Fee**

Profits are split as follows:

* 80% to staker
* 20% to team

The team share is collected periodically and is announced in our discord.

### Unstake Slippage Cost

The stake and unstake rates differ based on the assets and positions of the pool. These adjustments are there to benefit the existing/continued stakers.

**Cash and Carry Arbitrage and Hedged Carry Trades**

To compensate for the cost of closing positions we deduct from the NAV a 40 basis points (0.4%) of the total open interest (OI). For example if there is $100K USD of OI. And the total NAV is $200K USD, then a deduction of 0.004 \* $100,000 = $4k will be applied to compute the unstake rate.