Fees

An overview of the trading and sequencer fees charged on bro.trade

Fee Model

Trading fees are a standard feature of any exchange venue. Fee models vary between exchanges but are generally charged:

1. As a percentage of the total value of a trade.

2. Each time an order is executed.

As a hybrid orderbook-AMM with an integrated money market, bro.trade’s fee model applies to:

• AMM Liquidity Pools

• Borrow / Lend Pools

• The Sequencer’s Central-Limit Orderbook (CLOB)

As a result, the four primary market participants on bro.trade with an impact from fees include:

1. Price Makers

2. Price Takers

3. Liquidity Providers (LPs)

4. Borrowers & Lenders

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Trading Fees

Taker fee = 0.05%

Maker fee = 0.02%

Sequencer Fees

bro.trade charges a straightforward flat fee, denominated in HONEY, for interactions with the Vertex back-end Sequencer. This fee covers the gas costs associated with the underlying blockchain while delivering a seamless and low-latency trading experience via lightning-fast order matching.

The Vertex Edge sequencer serves as the interface with underlying chain (Berachain) that Vertex Edge is deployed to, efficiently matching orders between supported EVM chains.

Beyond order matching, the sequencer facilitates high-speed operations such as rapid deposits, withdrawals, liquidity provider (LP) minting, and more — ensuring a smooth and responsive user experience.

For more details on the sequencer, please refer to the documentation section on the subject here.

NOTE: If you don’t have HONEY in your subaccount, either a loan will be taken out or the transaction will fail, depending on whether spot leverage is enabled.

Of note, sequencer fees are approximate values for withdraws and deposits denominated in the corresponding asset. Fees are subject to change over time as gas fees and other variables are adjusted, but they should remain relatively stable within months of launch.

Sequencer Fee Structure

• Deposit = 0 HONEY

• Submitting a Liquidation = 1 HONEY

• Withdrawing Collateral:

  • HONEY = 1 HONEY

• Placing an order that takes liquidity from the book = 0 HONEY*

• Minting / Burning LP Tokens = 1 HONEY

Sequencer fees are only charged if the operation is successful.

For example, if you submit a collateral withdrawal request that causes your account to be under-collateralized, you will not be charged sequencer fees for the failed action.

Limit orders and takers aren't mutually exclusive, so sequencer fees may still apply to specific limit orders.

• For example, a trader might place a limit order that does not immediately match any existing orders, adding liquidity to the market.

• Later, the same trader might execute a market order or a limit order that matches an existing order, taking liquidity and acting as a taker that is charged a sequencer fee.

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Network Gas Fees

The Vertex Edge sequencer handles user interactions with the blockchain. As a result, users' sequencer fees are paid in lieu of gas and are akin to some combination of gas and “clearing fees” on a traditional exchange.

Withdrawals

Vertex Edge minimizes user fees by sending transactions on the underlying chain when gas fees are low. All actions on bro.trade still happen instantaneously, but withdrawals can take up to 30 minutes or longer during high gas periods.

The 30-minute time-frame is the targeted maximum that a withdrawal will remain pending, as Vertex Edge usually sends the transaction to the underlying chain after this time automatically -- even during high gas periods. If your withdrawal takes longer, it may be due to persistent and excessively high gas costs..

NOTE: If your withdrawal appears on the bro.trade app, that means it was successfully placed and will settle on-chain once gas costs come down or if gas is already below the target threshold at the time of your withdrawal.