DAO Business Model
Last updated
Last updated
Splash DAO benefits from DAO Fees. DAO Fees are applied to all liquidity pools and each order matching.
The following scheme clearly shows how the DAO business model is structured.
Check Understanding $SPLASH and $veSPLASH sections.
DAO Fees encompass charges gathered from both liquidity pools and orders. Half of all DAO Fees are allocated to the DAO Treasury, while the remaining 50% is designated for the DAO Rewards. This distribution ratio can be modified through the approval of a pertinent DAO proposal.
Every liquidity pool on Splash incorporates a DAO Fee tier. The minimum DAO Fee is 10% of the LP Fee and can be increased to 50% during the pool creation process. The DAO accrues income from every transaction that engages a pool. The portion of the DAO fee can be fine-tuned by approving a suitable DAO proposal.
Each order matching is subject to a DAO Fee. Initially, DAO charges 0.1 ADA + 0.05% for each order matching.
