Reserves and Service Charge

The Patronus protocol is committed to providing liquidity solutions for crypto users around the world. During this process, Patronus needs cash flow to ensure system health and algorithms update until the system is mature.

Therefore, a small amount of the Borrow Fee will be charged for the lending service.

The fee is based on the borrowing amount, multiplied by a fixed proportion (generally 0.05%~0.1%) and included in the borrower's debt.

Meanwhile, a certain proportion (R) of the lending interest will be charged as a reserve, and the Reserve Factor R is adjustable (generally 5% ~ 25%).

The reserve belongs to the treasury vault controlled by the DAO to support the corresponding protocol behaviors, such as funding innovative experiments or paying the relevant fees for cooperation with other protocols.