Fee Structure

We’ve made some changes to the fee structure. There are three types of fee that we have clarity on:

  1. Funding fee

Every time a new PPA reaches its funding target, EcoYield takes a structuring fee equal to 2.5 % of the USDC raised.

That money underwrites the real‑world costs that materialise before a single kilowatt‑hour is produced: legal documentation, KYC/AML checks, site diligence, SPV creation, oracle integration, etc.

Think of it as a one‑off financing fee: the protocol makes the capital possible, so the project pays a small slice of that capital back to cover the infrastructure that unlocked it.

$FundingFee = 0.025 × FundingAmount$

$NetFunding = FundingAmount − FundingFee$

2. Performance/Yield Skim

Fee taken off every cash flow from the PPA. It is designed in a way to align it with the projects success. So a base fee is charged on projects below a certain hurdle rate. We define this hurdle rate by proxying it to what yield is being offered in the market at the moment with similar risk and type projects. If the expected yield is higher than the benchmark we take a certain % over the hurdle rate. So the protocol only charges a higher fees when it LPs make more and when it lands a higher yield project.

  1. As the treasury grows we redirect 50% of the collected yield share which serves as an additional yield to $EYE stakers. As compared to the previous architecture this is a design change that helps simplify the structure to the users. Instead of broadcasting a higher yield initially and then cutting it back off, we prefer this design that is easier to market, where there are only two buckets created from the protocol yield share, half goes towards buybacks and half stays in protocol treasury as revenue. Of course the buybacks remain a governable parameter and can be adjusted if required.
Gross IRR/Expected Yield Fee % LP Net IRR
5% 10.00% 4.50%
6% 10.00% 5.40%
7% 10.00% 6.30%
8% 10.00% 7.20%
9% 10.00% 8.10%
10% 10.00% 9.00%
11% 10.00% 9.90%
12% 10.00% 10.80%
13% 10.50% 11.64%
14% 11.00% 12.46%
15% 11.50% 13.28%
16% 12.00% 14.08%
17% 12.50% 14.88%
18% 13.00% 15.66%
19% 13.50% 16.44%
20% 14.00% 17.20%
21% 14.50% 17.96%
22% 15.00% 18.70%
23% 15.50% 19.44%
24% 16.00% 20.16%
25% 16.50% 20.88%
26% 17.00% 21.58%
27% 17.50% 22.28%
28% 18.00% 22.96%
29% 18.50% 23.64%
30% 19.00% 24.30%
31% 19.50% 24.96%
32% 20.00% 25.60%
33% 20.50% 26.24%
34% 21.00% 26.86%
35% 21.50% 27.48%

3. Feasibility Study Fee

Since feasiblity study is being done by an independent entity and not under Ecoyield, so we wont include these fees as protocol revenue.

4. Withdrawal Fee:

No withdrawal fee (yield withdrawn), barriers on redemptions also create barriers to entry. None of the RWA projects like Maple, Goldfinch, Centrifuge have redemption fees.

EcoYield Fee Schedule

1. Funding (Structuring) Fee

Trigger Payer Rate Purpose
At the moment USDC is committed to a new PPA Project developer 2.5 % of the amount funded Covers legal, KYC/AML, technical diligence, SPV formation and day‑one protocol security/OPEX. Functions as the project’s “financing fee.”

Formula

Funding_Fee = 0.025 × Funding_Amount
Net_Funding  = Funding_Amount − Funding_Fee