Profit Sharing & Fees
Admin Fees are generated from all of the platform's products as per the table below;
Product
Fees
Exchange
.25% to Liquidity Providers .05% to GFI Holders (admin fees)
Farms
3% to GFI Holders (only non-whitelisted smart contracts pay this fee) *
Vaults
1% - 5% to GFI Holders (varies between vaults)
GFI Holders receive fee discounts on certain vaults.
Launchpad
5 - 10% of the raised funds (various packages available)
Regular wallets do not pay harvesting fees on Farms. Only Smart Contracts such as third party compounders pay the performance fee unless they are whitelisted (partners for example). All Gravity compounders are whitelisted and do not pay any harvesting fees.
All Admin Fees collected from the platform are sent to the Governance Smart Contract, where they are converted to 50% ETH and 50% wBTC. These fees remain in the contract and are available for the GFI Token Holders to claim. The earnings and claim amounts are calculated proportionally based on the addresses percentage of the circulating supply of GFI.
The 50% stored as ETH can be claimed at any time as dividends.
When transferring GFI to another address, the contract's transfer/transferFrom calls will update the fee ledger. All of the original address's wETH earnings will remain claimable by the original address at any time into the future.
You must hold your GFI in your personal wallet to accrue wETH. If your GFI is deposited into a Gravity Smart Contract, the wETH earnings and fees are handled slightly differently depending on the pool type. See the sections down below for details.
The 50% stored as wBTC is somewhat different… it can also be claimed at any time, but by claiming wBTC, the corresponding GFI Tokens are burned (proportional to the amount claimed).
This structure is where our project's tagline originates "Backed by bitcoin". This wBTC is what backs our Governance Token, giving it true intrinsic value. This value is programmed to increase over time as more fees are collected from the platform (and the price of BTC hopefully continues to rise).

Liquidity Providers

wETH Earnings Any pair that holds/earns GFI automatically claims it's wETH earnings. This wETH is reinvested into the pool as new liquidity (owned by the LPs). Existing LPs therefore increase their share of that pair's liquidity.
Fees All admin fees collected are sent to the fee handler (converted to wBTC / wETH) and distributed to GFI holders.

Farms

wETH Earnings Any farm that holds/earns GFI automatically claims it's wETH earnings. These earnings are sent to the incinerator contract (buys and burns GFI).
Fees Any non-whitelisted Smart Contract that harvests GFI pays a 3% fee. If this fee is in GFI, it is sent to the incinerator contract (buys and/or burns GFI). If the fee is not GFI, it is sent to the fee handler (converted to wBTC / wETH) and distributed to GFI holders.

Vaults

wETH Earnings Any vault that holds GFI, automatically claims it's wETH earnings. The wETH is reinvested into the strategy. Existing Vault participants increase their share of the vault's deposit asset (LP tokens).
If GFI is only held as an intermediary step in a Vault strategy (like farm compounders), the wETH is automatically claimed and sent to the incinerator contract (buys and burns GFI).
Fees All users and Smart Contracts pay a 3% performance fee (on rewards). If this fee is in GFI, it is burned. If this fee is not GFI, it is sent to the fee handler (converted to wBTC / wETH). There are no deposit or withdrawal fees.