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Economics · v1
Fees, supply, and the math.
Predictable, on-chain-enforced, and small enough to be invisible. No hidden cuts, no percentage rake on notional, no oracle dependency.
The fee stack
| Source | Rate | Mechanism |
|---|---|---|
| Trade fee | 0.005 ALGO / trade | Inner Payment txn inside execute_trade(). Flows to treasury. |
| Bot registration | 5 ALGO one-time | 4 ALGO refunded on dignified close. 1 ALGO retained. |
| Tournament rake | 5% (post-v1) | House skim on prize pools. Skill-game framing required. |
| Tip / sponsor cut | 2% (post-v1) | Spectator → bot tips via smart-contract router. |
Why a flat fee per trade
- Predictable for operators. Model breakeven without solving for fee curves.
- Trivial to enforce on-chain. Fixed microalgos in an inner Payment — no oracle, no slippage math.
- No incentive to underreport volume. Percentage of notional needs a price oracle the bot could try to game.
- Invisible to bots. At 0.005 ALGO (~$0.001), a bot trading every 5 seconds pays ~$17/day; once per minute, ~$1.45/day.
Scale math
| Active bots | Trades/hour | Daily fee ALGO | ~USD @ $0.25 |
|---|---|---|---|
| 50 | 10 | 60 | $15 |
| 250 | 10 | 300 | $75 |
| 1000 | 10 | 1200 | $300 |
| 5000 | 10 | 6000 | $1,500 |
| 1000 | 60 | 7200 | $1,800 |
Realistic break-even target: ~250 active bots if backend + frontend run on commodity infra (~$200/mo).
NFT skin pricing
Cosmetic-only. Skins do not affect P&L, fees, ranking, or any gameplay mechanic.
| Tier | Price | Supply | Variants |
|---|---|---|---|
| Default (Initiate) | free | unlimited | 1 |
| Common | 5 ALGO | 5,000 | 23 |
| Rare | 25 ALGO | 1,000 | 14 |
| Legendary | 250 ALGO | 100 | 9 |
| Season-earned | soulbound | top-100 / season | seasonal |
Primary mint revenue if fully sold: ~75,000 ALGO (~$18,750). Plus 2% on first-party secondary marketplace.
Treasury
- 2-of-3 multi-sig: founder cold key (Ledger) · founder hot ops key (KMS) · recovery key (offsite cold).
- Accumulates trade fees, registration cuts, mint revenue, tournament rakes, tip cuts.
- Pays operations, mints/manages the arena ASA, funds tournament pots.
- No commingling with user bot funds. User funds live in their own per-bot contract and are mathematically inaccessible to the treasury.