Protocol Fees

13.37% of all earnings (after conversion to WETH) from the Protocol veNFT will be treated as ‘Protocol Fees’.

It can be broadly classified into 2 sections:

• Protocol-owned Liquidity
• Performance Fees

Protocol-owned Liquidity

Half of the 13.37% of ETH will buyback ELR from the market and be matched with the other half to create liquidity tokens of the ELR/WETH pair at Ramses.exchange DEX.

After ELR is whitelisted by Ramses.exchange Core Team, these LP tokens will be staked into its Ramses.exchange gauge to earn THE. Earned yield will be re-compounded.

Note: Prior to the first DAO proposal for ELR, this part was used differently:

All of the THE earned from this staking will be given back to Thena Voters as Bribes to attract further votes for our core pool (ELR/WETH).

Performance Fees

The PoL allocation will be transitioned partially into Performance Fees during the later

Early phase

Initially, there will be no direct fees taken out of the system by the Guru Network. All of the 13.37% will be allocated towards acquiring Protocol-owned Liquidity.

• There will be Zero Performance fee initially for atleast 2–4 months.

Future

Once the system matures enough and there is sufficient liquidity, a part of the ETH from the recurring 13.37% funding allocated for PoL building will be sent to our treasury as performance fee.

• Performance fee is capped at a max of 13.37% of ETH earnings.
• This fees can only be taken from the PoL allocations.