Gamma Options: A Comprehensive Guide to Fee Structure

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(1/9) Discover the Fee Structure of Gamma Options' #DeFi Trading in this comprehensive guide. 📚 Dive into the world of trading with insights and tips! Read here: doc.gammaoptions.com/docs/fundamentals/markets/fee-structure

(2/9) Gamma Options stands out by collecting fees exclusively in $USD, setting itself apart from other AMMs. We prioritize simplicity for traders and LPs alike. By eliminating the need for LPs to manage accrued fees, we minimize fee risk to the absolute minimum.

(3/9) Fee distribution breakdown: 1. Traders: Pay fees when trading. 2. LPs: Get 80% of the fees. 3. Gamma Options: Takes a 20% cut.

(4/9) Key Insight: Traders pay ZERO hidden fees. Our integrated spread and slippage system guarantees complete transparency.

(5/9) Spread Every option market on Gamma is characterized by a spread between its bid and ask prices, echoing the traditional order book model. With changing ETH prices, the spread adjusts. Governance decisions also play a part in influencing the formula components.

(6/9) Example: With ETH at $1600 and an option median price of $100, the spread totals $3.2. The fee? Essentially half of this spread. The trader pays $101.6 per option.

(7/9) Slippage Slippage in AMMs, including Gamma's, influences the trade price. Especially in markets with less liquidity, this can contribute to the fee. To illustrate: For ETH at $1600 & a $100 option median price, factoring in slippage can increase the total fee to $2.6.

(8/9) A reminder to traders: Always assess the 'Price Impact' prior to executing a trade on Gamma Options for informed decisions.

(9/9) If you found this thread valuable, give it some love! Retweet, like, and share with your colleagues. #GammaOptions #Trading Psst... Want to practice trade on Gamma? It won't cost you a dime. Give it a whirl here: app.gammaoptions.com