Decentralized exchange and liquidity provider Hashflow will charge trading fees starting today and will allow Hashflow token (HFT) stakers to receive a portion of these fees.
Currently, many DeFi protocols charge fees for transactions routed through Hashflow, even though Hashflow itself does not charge fees.
Going forward, all transactions performed on Hashflow will include a nominal fee. This fee is included directly in the quote and is automatically deducted at the time of transaction execution. This change is the result of a approved proposal by the Hashflow DAO and aims to establish the protocol’s first revenue stream.
“By distributing fee proceeds to the token stakers and the Foundation, this proposal creates a sustainable model that will benefit all stakeholders in the Hashflow ecosystem,” said Varun Kumar, co-founder of Hashflow.
The revenue goes to stakers, Hashflow Foundation and token buybacks
The revenue from these fees will be allocated as follows: 50% will be distributed to HFT token stakers, 30% will be earmarked for the community coffers specifically for HFT buybacks, and the remaining 20% will cover the Hashflow Foundation’s operating costs.
The team did not reveal the exact fee amount for trades, although it did say that the fee will be dynamic based on the size of the swap. All trading fees collected are distributed to the token stakers on a monthly basis.