Trading Fees Explained
Slinq supports two fee models. Ethereum launches use Slinq’s Clanker wrapper and show creator-facing revenue in ETH terms. BNB Chain Infinity launches use a PancakeSwap hook with a 1% base fee plus dynamic launch and volatility protection.Ethereum vs BNB Chain Fees
The sections below explain the BNB Chain Infinity hook model.
What Are Hooks?
Hooks are PancakeSwap V4’s way of letting protocols like Slinq add custom logic to every trade. Think of them as an automatic middleman that:- Calculates the right fee based on market conditions
- Protects against bots during the first 30 seconds of a launch
- Splits fees between the token creator and the protocol
- Adjusts for volatility to protect against manipulation
Fee Breakdown
The 40% creator share is the highest in the industry. Most platforms give creators 0%.
Fee Beneficiaries
When you launch your own token, you receive the full 40% creator share. But when someone else helps bring your token to life (for example, through social tokenization), the fee split adjusts:
The “first buyer” is the person who actually executes the launch transaction on-chain. They receive a 5% share as a reward for putting your token live, while you still earn 35% as the creator.
Two Types of Fees
Slinq has two separate fee mechanisms that work together:1. Hook Fees (Trading Fees)
The 1% base fee (plus any dynamic premiums) is the hook fee — collected by the hook on every trade and distributed between stakeholders:Hook fees are what you see deducted from your trades. These go to people, not burns.
2. LP Fees (Liquidity Provider Fees)
Separately, PancakeSwap’s native LP fees (0.3%) accrue to the locked liquidity position. Slinq uses these LP fees to create deflationary pressure:Token Side → Burned
The token portion of LP fees is permanently burned, reducing the circulating supply of every token launched on Slinq. This makes all Slinq tokens naturally deflationary over time.
BNB Side → $SLINQ Buyback
The BNB portion of LP fees is used to buy back and burn $SLINQ on a regular basis, creating sustained deflationary pressure on the protocol token.
How Fees Work
1
Trade executed
You buy or sell a token on Slinq.
2
Dynamic fee calculated
The smart contract calculates the fee based on MEV protection and volatility conditions.
3
Automatic split
The fee is split: 40% to creator, 60% to protocol.
4
Creator accumulates
Creator rewards accumulate automatically in the claimable balance for the designated beneficiary wallet.
5
Claimable anytime
Creators can claim their accumulated fees whenever they want.
MEV Protection Fees
During the first 30 seconds after launch, a premium is added to buy orders only to protect against sniper bots. The premium decays using a parabolic (x²) curve, and the total hook fee is capped at 5%:The Math Behind MEV Protection
The MEV premium follows a parabolic decay formula:MEV Premium Formula
timeRemaining = 30 seconds - elapsed time since launch- At launch (t=0):
min(5%, 1% + 5% × (30/30)²) = 5% - At 10 seconds:
1% + 5% × (20/30)² = 1% + 2.22% = 3.22% - At 20 seconds:
1% + 5% × (10/30)² = 1% + 0.56% = 1.56%
Why MEV Protection?
MEV (Maximal Extractable Value) bots try to:- Front-run your transactions to buy before you
- Sandwich your trades to profit from price movement
- Snipe new launches in the first blocks
Volatility Fees
During periods of high price volatility, fees increase to protect liquidity providers. This uses a Volatility Accumulator (VA) that tracks price movements.The Math Behind Volatility Fees
Volatility fees use a VA² (Volatility Accumulator Squared) formula inspired by Meteora’s DLMM:Volatility Fee Formula
- Accumulation: When price moves, VA increases by the tick deviation
- Decay: If no trades occur, VA decays by 50% after 60 seconds
- Reset: After 4 minutes of stability, VA resets to 0
- VA = 500 (5% price move):
40,000 × 500² / 1,000,000 = 1% premium - VA = 1000 (10% move):
40,000 × 1000² / 1,000,000 = 4% premium - VA = 1500 (15% move):
40,000 × 1500² / 1,000,000 = 9%→ capped at 5%
The VA² formula means small moves have minimal impact, but large rapid moves trigger significant protection for LPs.
Comparing Fees
Slinq’s 40% creator share means every trade supports the token’s creator.
Gas Fees
In addition to trading fees, you pay network gas:Gas fees go to BNB Chain validators, not Slinq. They vary based on network congestion.
Fee FAQ
Do I pay fees on both buys and sells?
Do I pay fees on both buys and sells?
Yes, the base 1% fee applies to every trade. However, the MEV premium (during the first 30 seconds) only applies to buy orders - sells always pay the standard fee.
Are fees included in the quote?
Are fees included in the quote?
Yes. The amount shown as “You Receive” is after all fees are deducted.
Can I avoid MEV fees?
Can I avoid MEV fees?
Wait 30 seconds after launch to pay standard 1% fees. The MEV decay is automatic. Or sell instead of buy - MEV fees only apply to buys.
What's the maximum fee I could ever pay?
What's the maximum fee I could ever pay?
The absolute maximum hook fee is 5%. Under normal conditions, you’ll usually pay close to the 1% base fee.
Where can I see my fee contributions?
Where can I see my fee contributions?
Visit the token page to see:
- Total fees collected
- Your contribution to trading volume
- Creator earnings from your trades
As a creator, how do I claim fees?
As a creator, how do I claim fees?
Visit your creator dashboard and click “Claim” to withdraw accumulated fees.
How does the token burn work?
How does the token burn work?
This applies to LP fees (PancakeSwap’s 0.3%), not hook fees. LP fees accumulate in both the token and BNB. The token side is burned directly, reducing supply. The BNB side funds regular $SLINQ buybacks and burns. Every trade makes tokens more scarce.
What's the difference between hook fees and LP fees?
What's the difference between hook fees and LP fees?
Hook fees (1%+) go to creators, pool initializers, and the protocol - these are the fees you see in your trade quotes. LP fees (0.3%) are PancakeSwap’s native fees that accrue to liquidity - Slinq uses these for token burns and $SLINQ buybacks.
Why This Fee Structure?
Slinq’s fee model aligns incentives:For Traders
- Transparent 1% base fee
- MEV protection at launch (buy-only premium)
- Volatility fees protect against manipulation
- Max 5% cap even in extreme conditions
For Creators
- Up to 40% of BNB Chain hook fees
- Passive income from every trade
- Higher fees during volatility = more earnings
- Incentive to build community
Learn about creator earnings
How creators earn from their tokens