Further Analysis of the Fee Model For Mosaic

Our Current Fee Structure

The research we did on the values that we will implement on the system is presented below. As reference here we have the initial fee graph that we were going to use.

The Change in the Fee Structure

Current system is defined by two parameters. A max fee taken (5% previously) and the threshold of transfer size vs available liquidity in the origin vault which currently stands at 30%. We ran our simulation environment — the Liquidity Simulation Environment (LSE) implemented in Python — with different values ranging from 3% to 6% max fee, and 20% to 50% as liquidity thresholds.

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Composable Finance Founder & CEO. I write about R&D at Composable Finance. Physicist by training