Swap Fee
The fee charged on each trade in an AMM, distributed to liquidity providers.
The fee charged on each trade in an AMM, distributed to liquidity providers.
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Sep 2026 · Freshness Score: 50%
Was ist Swap Fee?
The fee charged on each trade in an AMM, distributed to liquidity providers.
- Category
- concept
- Type
- Authority Node
- Quellen
- 1
On AMM DEXs, each swap charges a fee (typically 0.05-1%) added to the pool, distributed to liquidity providers; a portion may go to the protocol treasury. Fees are set per pool and can change via governance. On order-book exchanges, fees ar
Swap fees are the economic engine of trading venues — they determine liquidity-provider yields and exchange revenue. Fee structure (and its governance) shapes where traders and liquidity go; fee wars drive competitive dynamics in both CEX a
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1. What Is a Swap Fee
A swap fee is the percentage charged on a token exchange — on DEXs it's paid to liquidity providers and the protocol; on CEXs it's the trading commission.
2. How It Works
On AMM DEXs, each swap charges a fee (typically 0.05-1%) added to the pool, distributed to liquidity providers; a portion may go to the protocol treasury. Fees are set per pool and can change via governance. On order-book exchanges, fees are maker/taker percentages, often tiered by volume. Fee revenue is the primary income of exchanges.
3. Why It Matters
Swap fees are the economic engine of trading venues — they determine liquidity-provider yields and exchange revenue. Fee structure (and its governance) shapes where traders and liquidity go; fee wars drive competitive dynamics in both CEX and DEX markets.
4. Key Facts
- Uniswap's standard fee tiers: 0.05%, 0.30%, 1.00%
- Maker fees reward liquidity; taker fees pay for immediacy
- Protocol fees can be toggled by governance
- Fee revenue funds most protocol treasuries
5. Related Concepts
- decentralized-exchange
- liquidity-incentive
- price-impact
- market-maker
Frequently Asked Questions
What is Swap Fee?
The fee charged on each trade in an AMM, distributed to liquidity providers.
How does Swap Fee work?
A swap fee is the percentage charged on a token exchange — on DEXs it's paid to liquidity providers and the protocol; on CEXs it's the trading commission. On AMM DEXs, each swap charges a fee (typically 0.05-1%) added to the pool, distributed to liquidity providers; a portion may go to the protocol
Why does Swap Fee matter in Web3?
- liquidity-incentive - price-impact - market-maker