Fees on Enhancer
One of Enhancer’s attractive features is its fee structure – or lack thereof – for users. Enhancer operates on a model that charges no fees to liquidity providers (LPs), distinguishing it from many traditional yield aggregators or DeFi platforms. Here’s a breakdown of how fees (or the absence of them) work on Enhancer, and how the platform sustains itself:
Zero Fees for Liquidity Providers: If you are a user providing liquidity and earning rewards via Enhancer, you will not be charged any platform fees on those rewards. There are:
No performance fees – Enhancer doesn’t take a cut of the yield you earn.
No management fees – there’s no ongoing charge for having your liquidity “linked” with Enhancer.
No deposit or withdrawal fees – you’re not paying a toll to enter or exit a campaign.
This means if a campaign promises a 20% APR boost and you earn $100 worth of tokens, you get the full $100 (aside from minor network transaction fees for the payout). Enhancer believes that taking fees from user yields can discourage participation and reduce the effectiveness of the incentives.
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