---
title: Fees
description: >-
  SV3 splits each action fee into protocol revenue, creator revenue, and
  non-withdrawable floor backing, with rates and defaults detailed per action
  type.
---

> **For AI agents:** the complete documentation index is at [llms.txt](/llms.txt). Append `.md` to any page URL for its markdown version.

SV3 calculates each action fee once from its defined gross USDC leg. The fee is then split between protocol revenue, creator revenue, and non-withdrawable floor backing.

## Action fees

| Action                           |   Fee |
| -------------------------------- | ----: |
| Buy                              | 1.25% |
| Curve sell                       | 1.25% |
| Explicit floor redemption        | 1.25% |
| Advance origination              | 3.00% |
| Repayment                        |    0% |
| Collateral deposit or withdrawal |    0% |
| Surrender                        |    0% |
| Donation or reserve sync         |    0% |
| Floor raise                      |    0% |

An owner-set USDC market-creation fee goes to protocol revenue and is excluded from market backing.

## Fee waterfall

```mermaid
flowchart LR
    A[Action fee] -->|15%| B[Platform share]
    A -->|85%| C[Market-group share]
    C -->|75%| D[Protocol group share]
    C -->|creator selection C| E[Creator]
    C -->|25% minus C| F[Floor backing]
    B --> G[Protocol total]
    D --> G
```

At launch, the creator fixes their share of the 85% market-group bucket between 0% and 25%; the default is 10%. Buy, sell, redemption, and advance fee rates stay fixed for every creator setting.

At the default creator selection, the effective split of the gross action fee is:

| Destination    | Share of action fee |
| -------------- | ------------------: |
| Protocol total |              78.75% |
| Creator        |               8.50% |
| Floor backing  |              12.75% |

## $100 buy or gross sell

| Item                |      Amount |
| ------------------- | ----------: |
| Gross action amount | $100.000000 |
| Total 1.25% fee     |   $1.250000 |
| Protocol total      |   $0.984375 |
| Creator             |   $0.106250 |
| Floor backing       |   $0.159375 |

For a 100 USDC gross buy, 98.75 USDC traverses the curve and 0.159375 USDC becomes floor surplus. A 100 USDC gross curve sell or floor redemption sends 98.75 USDC to the user before gas and integer rounding.

## $100 advance

| Item                     |      Amount |
| ------------------------ | ----------: |
| Gross debt opened        | $100.000000 |
| Total 3% origination fee |   $3.000000 |
| Net USDC to user         |  $97.000000 |
| Protocol total           |   $2.362500 |
| Creator                  |   $0.255000 |
| Floor backing            |   $0.382500 |

The position opens with 100 USDC of debt, sends 97 USDC to the user, and charges the 3 USDC fee at origination.

## Revenue and backing are different

| Balance                    | Withdrawable?            | Purpose                                      |
| -------------------------- | ------------------------ | -------------------------------------------- |
| Curve reserve              | No                       | Backs the curve's redemption schedule        |
| Outstanding advance        | No                       | Reserve paid early against locked collateral |
| Floor-directed fee surplus | No                       | Funds a later valid floor raise              |
| Protocol fee escrow        | Yes, to stored recipient | Protocol revenue                             |
| Creator fee escrow         | Yes, to stored recipient | Creator revenue                              |

The floor receives split dust so that protocol, creator, and floor amounts always sum exactly to the action fee in raw USDC units.

<Note title="Creator trade-off">
  A larger creator share produces more creator revenue and less fee-funded floor backing. The
  creator selection is fixed when the market is created.
</Note>