Fees and APR

#What Wave charges

You pick one of two models when you build, in the Custody step.

#Your wallet — a one-time fee

• 0.1% of the deposit, taken once at build. Nothing on collect, nothing on close.
• 0.05% if you hold 500,000 WAVE or more, in your wallet or staked. Checked at build; no signup.
• The positions are minted straight to your wallet. Wave never holds them and can't act on them.
• The summary shows the fee before you build, and the deposit figure includes it.

#Held by Wave — a share of fees

• 5% of the trading fees your wave earns. Nothing on deposits, withdrawals or principal.
• Taken when fees are collected, whether you collect or close, on what the contract actually receives.
• If your wave earns nothing, Wave earns nothing.
• Wave holds the positions so it can collect, close or hand them back all at once.

#Where the fees come from

• Each bin is a Uniswap position.
• When a trade passes through a bin's range, the trader pays the pool's fee tier.
• It's shared among everyone providing liquidity in that range, in proportion to how much.
• A narrow bin at the current price holds a big share of the liquidity there, so it earns a big share of the fees.
• Bins the price isn't in earn nothing until it comes back.

#Reading the APR column

Est. APR = fees the whole pool earned over the selected window, annualised, divided by the pool's liquidity.

Read it with this in mind:

• It annualises the selected window. One busy hour × a year is a huge number. Use 24h.
• It's for the whole pool. A concentrated wave in range earns a multiple. Out of range earns zero.
• On v4 pools with a hook that takes a share of swaps, that share comes out first. The figure runs high.

#How Wave measures fees

• v3: the pool's fee tier × traded volume.
• v4: every swap reports the fee it actually paid; Wave adds them up. That's why dynamic-fee pools still show a real number.