> For the complete documentation index, see [llms.txt](https://arcafinance.gitbook.io/arcafinance-docs/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://arcafinance.gitbook.io/arcafinance-docs/protocol/vaults/fee-structure.md).

# Fee Structure

<figure><img src="/files/czGwTonrTfwWyTatPd2V" alt=""><figcaption></figcaption></figure>

*Arca Finance implements transparent fees to sustain the protocol, incentivize governance, cover gas fees, and protect against abuse.*

### *Fee Structure:*

*Rate: Up to `10% per year on AUM` (% per year which will be charged of the liquidity in the vault)*

* `x% per year AUM fee` for LP of stable assets like S/STS / Stablecoin pairs

***Distribution:***

* *`8% to $ARCA stakers` participating in governance*
* *`2% to treasury (keeper, strategies)`*

***

### *Withdrawal Fee:*

***Rate:*** *`0.5% on withdrawals` for vaults that do not harvest on deposit*

***Distribution:***

* *`50% - Shared among vault participant`s to reward long-term holders*
* *`50% - To Arca Finance Treasury`*

***

### *Deposit Fee:*

* ***Rate:** `0.1% on deposits` to cover gas costs and prevent abuse*
* ***Distribution:** Sent to Arca Finance treasury (supports gas for bot setup)*