> ## Documentation Index
> Fetch the complete documentation index at: https://rivrdex.io/docs/llms.txt
> Use this file to discover all available pages before exploring further.

# Fee structure

> How RivrDEX's 0.35% swap fee is collected, distributed, and why network fees are near-zero.

RivrDEX charges a single, flat fee on every swap. There are no hidden fees, and the network fee is near-zero.

## Fee summary

| Fee type          | Amount                            | Who receives it                                                            |
| ----------------- | --------------------------------- | -------------------------------------------------------------------------- |
| Swap fee          | 0.35% of input amount             | 0.3% — liquidity providers (proportional to pool share) · 0.05% — protocol |
| Network fee (gas) | Near-zero — a tiny amount of VARA | Vara Network                                                               |

## Swap fee

Every swap deducts **0.35%** from the input token before the trade executes against the pool.

**Example:** You swap 1,000 VARA for another token.

* Fee: 1,000 × 0.0035 = **3.5 VARA**
* Amount used to buy: 996.5 VARA
* Of that fee, **3 VARA** (0.3%) accrues to the pool's liquidity providers and **0.5 VARA** (0.05%) is the protocol share.

## How fees accrue to liquidity providers

When you provide liquidity to a pool, you receive **LP tokens** representing your proportional share of that pool's reserves.

Fees are not paid out immediately. Instead, they are added directly to the pool's reserves. As fees accumulate, each LP token represents a slightly larger share of the total reserves over time.

<Steps>
  <Step title="Deposit tokens">
    You add token X and token Y to a pool in equal value. You receive LP tokens in return.
  </Step>

  <Step title="Fees accumulate">
    Every swap against that pool adds its 0.3% LP share to the reserves. Your LP tokens grow in value with every trade.
  </Step>

  <Step title="Withdraw and collect">
    When you remove liquidity and burn your LP tokens, you receive your share of the current reserves — which now includes all accumulated fees.
  </Step>
</Steps>

Your fee earnings are proportional to your share of the pool. If you own 10% of a pool's LP tokens, you receive 10% of all fees that pool has ever earned (minus fees earned before you joined).

## Near-zero network fees

Vara Network's architecture keeps the network fee of a swap at a near-zero amount of VARA — a fraction of a cent. In practice, the 0.35% swap fee is the only cost that matters.

Your **first swap** doesn't even need that: RivrDEX covers its network fee with a [gas voucher](/docs/getting-started/voucher-guide), so it works with a zero VARA balance.

<Info>
  This is one of the core advantages of building on Vara. Traditional EVM chains charge meaningful gas on top of swap fees. On RivrDEX, what you see is what you pay.
</Info>

## Protocol fee

Of the 0.35% swap fee, **0.05%** is the protocol share — it supports RivrDEX's development and operations. The remaining **0.3%** goes to liquidity providers. Any future change to this split would be publicly announced.