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What are the fees?
What are the fees?
Updated this week

What are the fees to trade on Derive?

Fees on Derive differ if you are are maker (i.e., you put out a resting limit order that is filled) or if you are a taker (i.e., you buy or sell against an existing order); takers pay a base fee of $0.50 per order, regardless of order size. The fees also differ by instrument (options vs. perps) and are set out in the table below:

Instrument

Maker

Taker

Perp

0.01% x notional volume

$0.1 base fee + 0.06% x notional volume

Option

0.03% x notional volume

$0.5 base fee + 0.04% x notional volume

Option fees are capped at 12.5% of the value of the option.

Examples:

  1. Alice buys 2 ETH $2,000 puts against an existing order on the book, with the spot price at $2,200. The fee charged: $0.50 + (0.0004% * $4,400) = $2.26.

  2. Bob submits an order to short 0.1 BTC perp and later gets filled by Charlie, with the spot price at $43,000. The fees charged:

    • To Bob (Maker): 0.0001% * $4,300 = $0.43.

    • To Charlie (Taker): $0.10 + (0.0006% * $4,300) = $2.68.

What are the fees if I get liquidated?

If a user's position is liquidated, a liquidation fee is levied. The fee is 10% of the liquidated portfolio value, marked to market.

Examples:

  1. Alice has a $10,000 portfolio (marked-to-market) and is below her maintenance margin requirements. If 20% of her portfolio is liquidated to bring her account above maintenance margin, her fee will be 10% x $2,000 = $200.

Other Fees

Interest on Borrowed USDC: Interest charged on the debit balance of borrowed USDC, i.e. the fee only applies if your account has a negative cash component. This is charged according to a utilisation curve, similar to the one in use in AAVE (the more negative cash in the system, the higher the interest rate). Derive charges a spread on the long/short balance in the system.


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