Fees
Spout's fee model is designed to be simple, transparent, and aligned with lender outcomes. The protocol only earns when lenders earn.
Borrowing Fees
There are none. Borrowing on Spout is 0% interest, always. No origination fee, no maintenance fee, no early repayment penalty. The borrower's collateral generates yield through the options cycle, and that yield pays the lender side of the protocol. Charging interest on top would mean charging twice for the same economic activity.
Protocol Fee
The protocol charges a 20% fee on gross options premium collected each cycle. This fee is taken before any distribution to lenders. It funds three things: protocol operations, Insurance Fund contributions (until the fund reaches its target level), and protocol treasury.
The fee is visible in every cycle's settlement breakdown.
Transaction Fee
A 0.20% (20 bps) fee applies when buying or selling spAssets through the Spout app. This covers the cost of minting, redemption, and broker execution on the underlying shares. If you deposit existing tokenized equities from another provider, this fee does not apply since no minting or redemption occurs.
Withdrawal Fee
A 0.20% (20 bps) fee applies to stablecoin withdrawals from the lending pool. This fee helps maintain pool liquidity and is separate from the instant-withdrawal haircut mechanism described in the exit mechanics section.
Liquidation Fee
When a partial liquidation occurs, a 5% (500 bps) liquidation fee is applied to the amount of collateral sold. This fee compensates the protocol for the execution cost and risk of liquidation and a portion flows to the Insurance Fund. Compared to typical DeFi liquidation penalties of 10% to 15%, Spout's 5% fee reflects the lower execution risk of liquidating regulated equity positions through established market infrastructure.
Lender Deposit Fees
There are none. Depositing stablecoins into the lending pool is free.
Network Fees
All transactions on Spout run on Solana. Standard Solana network fees apply to deposits, withdrawals, borrows, repayments, and any other onchain actions. These fees are paid directly to the Solana network and are not collected by Spout.