Fee & Revenue Model

At the start of each epoch, every Operator defines two fixed per-trade allocation percentages — one assigned to Curators and one assigned to $YODL Delegators.

• Both are expressed as a percentage of the notional trade value (e.g., 0.1% for Curators, 0.2% for $YODL Delegators).

• Governance sets a minimum threshold for these allocations to ensure consistency for capital participants.

• These fixed allocations remain constant throughout the epoch and apply to every verified fill.

Whatever remains from the Operator’s quoted fee (after Curator and $YODL delegators) accrues to the Operator as variable execution retention, covering gas, infrastructure, and operation costs.

Operators cannot set fee parameters below governance minima; quotes that do not meet thresholds are rejected by the Orchestrator.

Fee Parameter Range: 0.05% – 1.00% of notional fill value.

Surplus Share (%)

Each Operator also defines a Surplus Share (%), representing the percentage of Net Surplus they retain from efficient executions.

Participants who delegate $YODL may view each Operator’s surplus-share settings and fixed-allocation configuration.

The Surplus Share applies only when an Operator generates positive Net Surplus. If a liquidation occurs during the epoch, any deficit adjustments applied to delegated YODL are reflected before applying the Operator’s surplus share.

This model ensures:

• A predictable fee structure for Curators and $YODL Delegators

• Performance-driven upside for Operators (via conditional surplus)

• Protocol solvency maintained through the Stability Fee, without diluting participant fees

The protocol does not retain any share of execution fees; it is sustained independently via the Stability Fee applied to Delegators, separate from trading revenue.

Economic Summary

Participant	Operational Costs	Compensation Source	Risk	Compensation Profile
Vault Curator	Near-zero gas overhead	Fixed Curator Fee	None	Stable fee-share per trade
$YODL Delegator	Near-zero gas overhead	Fixed Delegator Fee + surplus generated by their Operator	Bounded liquidation exposure	Variable fee-share
Network Operator	Infrastructure + transaction gas cost	Maker Fee + conditional surplus	Slashing risk for non-performance	Execution profit
YODL Protocol	Stability Fee processing + restoration management	Stability Fee	Protocol solvency	System-level balance