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Fees & Calculations

Understanding the fee structure is essential for calculating your true trading costs and expected returns.

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Fee Overview

Fee TypeRateWhen Applied
Opening Fee0.08%When position opens
Closing Fee0.08%When position closes
Hourly InterestVariableContinuously while open
Network GasVariableEvery transaction

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Opening Fee

A fee charged when your trade is matched and your position opens. 
Opening Fee = Position Size × 0.08%
Example:
  • Collateral: 100 USDC
  • Leverage: 10x
  • Position Size: 1,000 USDC
  • Opening Fee: 1,000 × 0.0008 = 0.80 USDC
The opening fee is deducted from your collateral immediately upon opening.

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Closing Fee

A fee charged when your position closes, regardless of how it closes (manual, stop-loss, take-profit, or liquidation). 
Closing Fee = Position Size × 0.08%
Example:
  • Position Size: 1,000 USDC
  • Closing Fee: 1,000 × 0.0008 = 0.80 USDC
The closing fee is deducted from your settlement amount.

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Interest (Borrowing Fee)

When you open a leveraged position, you’re effectively borrowing funds from matchers. Interest accrues continuously while your position is open.

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Interest Calculation

Hourly Interest = Position Size × Hourly Rate
Daily Interest = Hourly Interest × 24

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Current Rates

PairBase Rate (Hourly)APR Equivalent
BTC/USDC0.001%~8.76%
ETH/USDC0.001%~8.76%
SOL/USDC0.0015%~13.14%
ARB/USDC0.002%~17.52%
OP/USDC0.002%~17.52%
Interest rates are variable and may change based on utilization and market conditions.

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Interest Example

Position Size: 1,000 USDC
Hourly Rate: 0.001%
Duration: 48 hours

Hourly Interest: 1,000 × 0.00001 = 0.01 USDC
Total Interest: 0.01 × 48 = 0.48 USDC

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Network Gas Fees

Every transaction on Base requires a small ETH gas fee:
ActionTypical Gas Cost
Open Trade0.05−0.05 - 0.15
Close Trade0.05−0.05 - 0.15
Cancel Pending0.02−0.02 - 0.05
Modify SL/TP0.02−0.02 - 0.05
Deposit0.02−0.02 - 0.05
Withdraw0.02−0.02 - 0.05
Gas fees vary based on network congestion. Keep at least $1-2 of ETH in your wallet.

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Total Cost Calculation

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Formula

Total Fees = Opening Fee + Closing Fee + Interest + Gas

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Complete Example

Full Trade Cost Breakdown

Trade Setup:
  • Collateral: 100 USDC
  • Leverage: 10x
  • Position Size: 1,000 USDC
  • Duration: 24 hours
  • Entry Price: $50,000
  • Exit Price: $52,500 (+5%)
Fee Calculation:
FeeCalculationAmount
Opening Fee1,000 × 0.08%0.80 USDC
Closing Fee1,000 × 0.08%0.80 USDC
Interest (24h)1,000 × 0.001% × 240.24 USDC
Gas (open + close)Estimate~0.20 USDC
Total Fees2.04 USDC
P&L Calculation:
ItemAmount
Gross Profit1,000 × 5% = 50.00 USDC
Total Fees-2.04 USDC
Net Profit47.96 USDC
Return on Collateral47.96%

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Fee Impact by Trade Duration

Fees affect short-term and long-term trades differently:

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Short-Term Trades (< 24 hours)

  • Fixed fees (open/close) dominate
  • Interest is minimal
  • Need larger price moves to be profitable
Breakeven calculation: 
Breakeven Move = (Opening Fee + Closing Fee) / Position Size
               = (0.08% + 0.08%)
               = 0.16% price move needed

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Long-Term Trades (> 1 week)

  • Interest becomes significant
  • Fixed fees less impactful
  • Need to factor daily interest into profit targets
Example (1 week hold): 
Position: 1,000 USDC
Opening + Closing Fees: 1.60 USDC
Interest (168 hours): 1,000 × 0.001% × 168 = 1.68 USDC
Total Fees: 3.28 USDC
Breakeven: 0.328% price move

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Fee Comparison

How do Limora fees compare?
PlatformTrading FeeFunding/Interest
Limora0.08% + 0.08%~0.001%/hour
GMX0.1%0.01%/hour (variable)
dYdX0.05% taker0.00125%/hour
CEX (typical)0.02-0.05%0.01-0.03%/8h

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Reducing Costs

Fixed fees (open/close) are amortized over longer holds. A 24-hour trade pays the same opening fee as a 1-hour trade.
Aim for price moves that significantly exceed your fee breakeven point. Don’t scalp for 0.1% moves.
If not urgent, wait for lower network activity to submit transactions. Off-peak hours typically have lower gas.
If depositing and trading, do so in one session to minimize separate gas transactions.

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Fee Distribution

Where do the fees go?
RecipientSharePurpose
Protocol Treasury20%Development, audits, operations
Matchers80%Incentive to provide liquidity
Interest payments go entirely to the matcher who funded your position.

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Liquidation Fees

If your position is liquidated:
FeeRate
Liquidation Penalty5% of remaining collateral
Closing Fee0.08% of position size
Liquidation is costly—use stop-losses to avoid it.

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Calculator

Estimate your trading costs: Inputs:
  • Collateral: [Amount] USDC
  • Leverage: [Multiplier]x
  • Expected Hold: [Hours]
  • Target Move: [Percent]%
Outputs:
  • Position Size
  • Opening Fee
  • Closing Fee
  • Estimated Interest
  • Total Fees
  • Breakeven Price Move
  • Net Profit at Target
A fee calculator tool will be available in the trading interface.

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Next Steps

Trading Overview

Return to trading fundamentals.

Lending Overview

Learn how matchers earn fees.