Fees & Revenue
How csUSDL generates protocol revenue and aligns long-term value capture with the growth of the Coinshift economy.
Revenue Streams
Coinshift generates protocol revenue through two primary streams, all enforced transparently onchain:
1. USDL Minting Fee Share
Through a direct partnership with Paxos International, Coinshift earns up to 0.2% on all USDL minted via the csUSDL platform.
📈 Example: A 20 bps share on $16 billion AUM would generate $32 million per year in revenue.
This model aligns Coinshift’s growth with USDL adoption and creates a stable revenue base.
2. Vault Performance Fee
Coinshift may charge a performance fee — a share of the interest borrowers pay to access wUSDL from the vault. csUSDL currently charges 0%, encouraging capital inflow and growth.
In the future, SHIFT holders will govern this parameter. The target range is 5–10% of borrower interest.
📈 Example: At a 10% performance fee on a 2% borrow APY, Coinshift earns an effective 0.2% on AUM — or $32 million annually at $16B AUM.
Current Fee Structure (csUSDL)
Mint Fee
0%
No fee when minting csUSDL
Redemption Fee
0%
No fee when redeeming csUSDL
Performance Fee
0% (governed)
Set by governance. Target range: 5–10% of borrow interest
AUM Fee
0.2% annualized
Charged on idle wUSDL held in the vault
Strategic Revenue Alignment
Coinshift’s revenue model is designed to grow alongside csUSDL adoption and vault usage:
As more users mint USDL via Coinshift, stable revenue grows through the minting fee share.
As vault utilization increases, performance fees scale with lending demand.
This value flows back to the network through the SHIFT token economy. Governance may direct protocol revenue toward:
SHIFT buybacks and burns to reduce token supply
Treasury accumulation for future development and stability
Contributor incentives and partner programs that increase adoption
The more csUSDL is used, the more value is generated — and the more SHIFT reflects that growth.
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