Protocol Fees

Stryke's protocol fees are a key component of maintaining liquidity and ensuring the CLAMM's sustainability. This page provides a detailed overview of how fees are applied and allocated within the protocol.

Fee Application

Protocol fees are incurred for the following transactions within Stryke:

1. Buying Options: Users incur fees when purchasing options via CLAMM (i.e. 15% of the premium).

2. Auto-Exercise: Fees are applied when users utilise the auto-exercise feature to automatically exercise in-the-money options at expiration.

Note: - This fee is applicable only if the user has enabled the Auto-Exercise Feature, at the time of option purchase. - No fees are charged for providing liquidity.

For a detailed breakdown of Stryke's fees, refer to the Protocol Fee Overview.

Fee Allocation

Currently, 100% of protocol fees are allocated to Protocol-Owned Liquidity (POL). This ensures:

• Enhanced liquidity depth for option traders on CLAMM.

• A sustainable mechanism to support long-term growth of the protocol.