Fees

In Asteria Dex, dynamic fees are introduced to enable surge pricing during periods of high market volatility. Traders pay a swap fee consisting of a base fee (f_b) and a variable fee (f_v), which is determined by the current price volatility. These fees are applied to the swap amount within each liquidity bin and distributed proportionally to liquidity providers in that bin.

In our platform, fees are kept separate from liquidity and can be claimed by liquidity providers separately. Alternatively, fees are added to existing positions and held in reserve, with liquidity providers having the option to claim them upon withdrawing from liquidity pools.