Legal
Fees
Draft: these documents haven't been reviewed by a lawyer yet, and some details, like the company that runs Encore, are still being finalized.
Encore currently runs on Solana devnet, a test network. Tokens and SOL on devnet have no real value.
This page explains who is paid what on Encore. A token's fee settings are written on-chain when it launches and don't change afterwards. Encore can use different settings for tokens launched later. The figures below are Encore's current settings.
Launching
Encore doesn't charge a launch fee. You pay Solana network fees and the one-time storage deposits for the new token's accounts, about 0.03 SOL in total, plus any amount you choose to buy at launch.
Trading fees before graduation
Every buy or sell on a token's bonding curve pays a fee in SOL:
- Launch protection: the fee starts at 50% of the trade at launch and falls to 1% over about two minutes, to discourage bots that buy the instant a token appears.
- Volatility fee: an additional fee can apply when the price is moving sharply.
- Launcher's first buy: a buy made in the same transaction as the launch pays the minimum fee.
Each trading fee is split:
| Goes to | Share of each trading fee |
|---|---|
| The artist's vault | 40% |
| Encore | 40% |
| Meteora (the protocol running the curve) | 20% |
Graduation
When the curve holds 0.48 SOL, the token graduates to a Meteora DAMM v2 pool, which charges 1% per trade. All of the pool's liquidity is locked permanently: 50% belongs to the artist vault and the rest to Encore. Each earns that share of the pool's trading fees, after Meteora's protocol share. The pool creator's share of any graduation surplus also goes to the artist vault.
Moving fees into the artist vault
Fees build up inside Meteora until someone moves them into the artist vault. Anyone can do this, and Encore does it regularly. It only ever pays the vault. Whoever sends the transaction pays its network fee.
Claiming
The verified artist claims the vault's balance to their wallet, as described in Artist Verification and Claims. The artist pays network fees and, the first time, a small one-time deposit (about 0.002 SOL) for each token account created in their wallet.
Unclaimed fees
If an artist hasn't verified within 1 hour of a token's launch, anyone can sweep that vault's current balance to Encore's treasury. Swept amounts are not returned. Fees earned after a sweep keep building up for the artist, who can still verify and claim them.
Network fees
Solana charges a small fee for every transaction, plus an optional priority fee when the network is busy. These go to the network, not to Encore.