# StableFX Supply-side fees Methodology

## 1. Overview

Supply-side fees is defined as the share of fees that goes to the service providers. For StableFX on Arc, supply-side fees are set to zero. This is because external liquidity providers are not utilized by StableFX, and fees are paid by market makers rather than being distributed as incentives. Consequently, all fees generated by StableFX are retained by the protocol rather than being distributed to supply-side participants.

## 2. Data sources

- **None**: This metric is set to a constant value and no blockchain events are consumed

## 3. Step-by-step calculation

### Component A: Supply-side fee allocation

- **Purpose**: Assign the portion of fees distributed to supply-side participants for StableFX trades
- **Logic**: A constant value of zero is applied to all daily intervals. This reflects that no portion of the fees generated by StableFX is allocated to external service providers or liquidity providers.

*This methodology was automatically generated by Token Terminal's methodology analyzer.*

Portion of fees distributed to service providers or supply-side participants.

Supply-side fees

Exchanges (DEX)

Users deposit funds into Circle account and receive USDC or EUROC at a 1:1 rate.

Circle is a financial technology company that is the principal architect of USDC and EUROC - full-reserve fiat stablecoins that bring US dollar and euro liquidity on-chain.

Circle is a private company registered in the US. Circle's investors include Goldman Sachs, Baidu, and IDG Capital etc.

StableFX

Supply-side fees

Supply-side fees

Chain breakdown