Strategy Rewards and Fees
Rewards
Strategy depositors earn from:
- Trading fees — From the underlying LP position
- Protocol gauge rewards — Boosted by the Liquid Locker's locked governance tokens
Fee Structure
All strategy fees are performance fees — charged when rewards are harvested, not on deposits or withdrawals.
Fee distribution typically includes:
- sdToken holders — Rewards the Liquid Locker that provides boost
- vlSDT holders — Rewards governance participants
- DAO treasury — Funds protocol development
The specific allocation varies by protocol to optimize for each integration's economics.