13.37% of all earnings (after conversion to WMATIC) from the Protocol veNFT will be treated as ‘Protocol Fees’.
It can be broadly classified into 2 sections:
- Protocol-owned Liquidity
- Performance Fees
Half of the 13.37% of MATIC will buyback elRETRO from the market and be matched with the other half to create liquidity tokens of the elRETRO/WMATIC pair at Retro DEX.
After elRETRO is whitelisted by Retro’s Core Team, these LP tokens will be staked into its Retro gauge to earn RETRO. Earned yield will be re-compounded.
All of the RETRO earned from this staking will be locked, converted to elRETRO and given back to Retro Voters as Bribes to attract further votes for our core pool (elRETRO/WMATIC).
The PoL allocation will be transitioned partially into Performance Fees during the later
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.
Once the system matures enough and there is sufficient liquidity, a part of the MATIC 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 MATIC earnings.
- This fees can only be taken from the PoL allocations.