Protocol Fees

Hard cap

1.00% (100 bps), enforced in Limits.sol

Deploy-script default

0.30% (30 bps)

Applies to

both sides of a swap

Denominated in

the market's quote asset

Worked example

trade size            1,000 NVDA
protocol fee            30 bps
protocol accrual         3 NVDA

booked as: (poolId, NVDA) => protocolAccrued += 3

Nothing is converted. A DOG/NVDA market accrues NVDA; a MEME/ETH market accrues ETH. The treasury sweeps each token separately.

Frozen per market

The rate in force for a market is the rate written into its frozen configuration at launch. The owner can change the factory's default with setProtocolFeeBps, and that affects new launches only — an existing market's fee is read from a struct nothing can write to.

Where it ends up

Accrued protocol fees sit in TapeFeeVault until sweepProtocol(token) moves them to the treasury address. The function is permissionless to call and the destination is owner-set; the caller cannot redirect it.