Revenue Generation

Adapter Finance charges a fee of 2% of all vault yields and converts these into liquidity pool tokens (LPTs) for an 80:20 split with ADAPT/wETH. These LPTs are provided to the Adapter Rewards Vault as incentives for new liquidity providers. The ADAPT tokens are purchased at market price from the liquidity incentives allocation. The Adapter rewards vault charges an exit fee of 20 basis points. 100% of this fee goes to the remaining participants in the Vault based on their respective share of the vault.