Creator Fee
Information on the Creator Fee
Creator Fees are a ‘tax’ applied on all sales of Coin. This Fee is given to the respective creator as sidechain $RLY. Fee-applicable sales are when a user sells (or Converts) Coins to $RLY; if a user is transferring Coin to another Rally user or using Coins to purchase a campaign or NFT, this Fee is not applied.
Creators Fees are default applied to all Coins that launch with Rally.

How are Creator Fees calculated?

The Creator Fee is a slippage - or price-influenced - Fee meaning it is a sliding scale with smaller fees on smaller sales, and larger fees on larger sales. The Fee is determined by looking at the percent total amount of $RLY removed from the Coin's backing (liquidity pool) vs. total backing by the sale. You can find a Coin’s total $RLY backing in the “Activity” tab on every Coin page.
Note: Given the token bonding curve of Coins, it is possible for a sale to incur a percent fee that slightly differs from the visible market price change to the coin.

How to Calculate Examples

Example 1:

  • User A converts (or sells) X amount of Z Coins worth 1,000 $RLY (Z Coin has 100,000 $RLY backing)
  • 1,000 $RLY of 100,000 $RLY backing equates to a 1% 'removal' of $RLY backing
  • This 1% is then applied to the 1000 $RLY sale
  • The creator receives 10 $RLY from the sale
  • User A receives 990 $RLY from the sale

Example 2:

  • User B converts (or sells) Y amount of W Coins worth 2,000 $RLY (W Coin with 100,000 $RLY backing)
  • 2,000 $RLY of 100,000 $RLY backing equates to a 2% 'removal' of $RLY backing
  • This 2% is then applied to the 2,000 $RLY sale
  • The creator receives 40 $RLY from the sale
  • User B receives 1,960 $RLY from the sale
Last modified 27d ago