> For the complete documentation index, see [llms.txt](https://docs.dexponent.com/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.dexponent.com/fees-and-costs.md).

# Fees and costs

A DTF's actual fee configuration and transaction quote determine what you pay. **The percentages below are worked examples, not confirmed live beta rates or a protocol-wide fee schedule.** If the app does not clearly show the applicable terms, confirm them with the team before depositing.

## Performance fees

The current design charges performance fees on gains above a **DTF-level high-water mark**. It accounts for fees by minting DTF shares to the configured fee recipients. That increases the share supply and reduces existing holders' percentage ownership.

Fees are valued using the DTF's base asset. They are not beta DXP rewards, and LPs do not need to buy DXP to pay them.

A high-water mark helps avoid charging again for recovery below the DTF's previous fee-adjusted threshold. It is a vault-wide calculation, not a separate profit calculation for every wallet. Your entry price can differ from that threshold.

## Worked example: 20% performance fee

Assume no deposits or withdrawals during the period, and ignore rounding and execution costs.

| Item                                                       | Illustrative amount |
| ---------------------------------------------------------- | ------------------- |
| Starting net assets at the high-water mark                 | 1,000 USDC          |
| Assets before performance fees                             | 1,100 USDC          |
| Gain above the high-water mark                             | 100 USDC            |
| Performance fee at 20%                                     | 20 USDC equivalent  |
| Value attributable to the original LP shares after the fee | 1,080 USDC          |

The 20 USDC equivalent is represented by newly minted fee shares. It is not necessarily transferred out of the vault as cash at that moment.

If the protocol receives **25% of the performance fee**, its portion is 5 USDC equivalent and the manager's portion is 15 USDC equivalent. That 25% is a split of the 20 USDC fee, not an additional 25% charge on the LP's profit.

Both the 20% fee and the 25% split are illustrative. Confirm the deployed DTF configuration.

## Other costs

| Cost                          | Where it comes from                                         |
| ----------------------------- | ----------------------------------------------------------- |
| Network gas                   | Base transactions, paid in ETH where applicable             |
| Trading fees and slippage     | Swaps, order execution and market liquidity                 |
| Perpetual trading and funding | Hyperliquid positions; funding can be paid or received      |
| Cross-chain/settlement costs  | Moving strategy collateral where required                   |
| Other disclosed DTF charges   | Only where explicitly configured and disclosed for that DTF |

No fixed gas price, universal zero-fee policy or guaranteed net APY is specified here. Do not infer that an old creation-form field is an active charge without checking the final configuration.

Beta campaign rewards are separate: see [bDXP and rewards](/beta-rewards.md).