Fees

Tulip has two independent fee systems: inference settlement fees and AMM swap fees.

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Inference settlement

Every completed request is charged in the model’s canonical credit. The escrow distributes the charge to:

1. The provider offer’s payout address.
2. The Tulip protocol treasury.
3. The model creator.

For example, with a 5% protocol share and a market configured for a 2% creator share: The selected provider is the exact offer bound into the signed receipt. Other providers for the same model receive nothing from that request. Inference shares are on-chain configuration. Tulip displays the active protocol and creator shares in market and quote details. Verify them before authorizing a request.

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Swap fees

Each credit/USDG pool uses a native Uniswap v4 dynamic LP fee. The market creator may schedule a change within the factory’s current global bounds. A scheduled change is public for one hour before anyone can activate it, preventing a creator from changing the fee immediately around a pending trade. The documented production bounds are:

• Minimum: 100 pips, or 0.01%.
• Maximum: 100,000 pips, or 10%.

A common initial fee is 3,000 pips, or 0.30%.

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Example: $1 million of swap volume

At a 0.30% pool fee, $1,000,000 in volume generates$3,000 in gross LP fees, before considering that fees may accrue in both pool tokens. Under an 80/20 LP distribution: The locker distributes the actual token amounts collected, which may include model credits and USDG. The USD values above illustrate the split and are not guaranteed proceeds.

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What the hook does

TulipDynamicFeeHook returns the creator-selected fee as the standard v4 LP-fee override. The PoolManager applies that fee during the normal AMM swap. Tulip does not take a separate hidden routing fee and does not execute custom-accounting swaps inside the hook.

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Configuration summary