Compute Fees
Overview
When using Iagon, you'll encounter two types of fees:
Transaction fee
- This is a computational fee paid in Ada, covering the costs associated with processing transactions on the Cardano blockchain. For detailed information, please refer to the Cardano fee structure provided in the Cardano documentation.
Compute Subscription Fees
- Details about compute subscription fees can be found on Fees
Fees Calendar
Fees collected from the subscriptions of each month are distributed at the beginning of the next month.
Fees Allocation
By fees, we refer to the total Ada collected from subscriptions for the month. The fee payment calculation takes each month's fees into account to distribute for that month.
The fee earnings are based on node performance metrics calculations, which price tier their node qualifies for, and total usage during the month.
90% of the total fees collected are distributed to node providers. These will be claimable on the node provider dashboard at the start of each month.
7% of the fees goes to the Iagon treasury and 3% will be used to buy back $IAG.
As a bonus, the fees collected from subscriptions are currently delegated to IAGL1 stake pool as part of the Liquidity Providers Program's second phase. The staking rewards earned by the subscription fees smart contract's stake address, paid in partnered tokens and IAG, are to be distributed as 50% to Iagon and 50% to node providers, weighted by their performance scores. For now, this distribution is planned to be annual.
The fee structure is subject to change based on market research and as new subscriber tiers are introduced.