Treehouse provides a very restrained and transparent answer on fee design

When evaluating a DeFi protocol from a third-party perspective, I first look at two points: whether the fees are aligned with user interests and whether the choice is in the hands of the users.

First, there's the performance fee. Treehouse only charges 20% on positive MEY (Market Effective Yield), with no fees if it's not profitable. This truly embodies the principle of "paying dividends only when profits are made, leaving your principal untouched." Furthermore, the fee is calculated based on the pool's underlying token: tETH pools are charged in tETH, and tAVAX pools are charged in tAVAX, eliminating extra currency slippage and accounting complexity.

Secondly, there are Fastlane fees. Fastlane provides "instant liquidity" that bypasses the regular redemption queue. Its fee is 2%, payable in the underlying LST (e.g., tETH for wstETH). For users redeeming through Pendle integration (e.g., YT-tETH, LP-tETH), the system automatically uses Fastlane, thus incurring this fee. This "optional accelerated channel" clearly priced time value, allowing users to access it on demand.

More importantly, the fee rates factor in risk based on the different lock-up periods of the assets. For example, tETH's standard redemption period is approximately 7 days, resulting in a 2% Fastlane fee. However, tAVAX's standard redemption period is approximately 17 days. Due to the longer lock-up period and the higher liquidity risk borne by the protocol, the Fastlane fee is increased to 4%. This not only ensures the sustainability of instant redemptions but also clearly demonstrates the "speed premium" of different assets.

For users, Treehouse gives you the choice: if you're not in a rush, go with the standard queue and avoid Fastlane fees. If you need to monetize immediately, use Fastlane, trading a known rate for certainty and time. Combined with a performance fee structure that only accrues on positive returns, this framework is fair, transparent, and sustainable, making it a worthwhile addition to your toolkit. #Treehouse and $TREE @Treehouse Official