QuantumPools · Deep diveFee Share

LP education · where your fees come from

Your slice of the fee pie

Why can your fees drop when nothing changed on your side?

The short version

Same $60 fee pie, same trades: your $10,000 earns $6.00 a day, before QuantumPools' 15%. A newcomer adds $100,000 beside you, and the same trades pay you $3.00.

Your fees a day = trades inside your range × fee tier × your share your share = your liquidity ÷ (your liquidity + everyone else's at the price)

One variable moves everything: your share. For now, liquidity means your dollars at the price. $10,000 keeps the slices easy to see; $1,000 earns roughly a tenth. All figures are illustrative, not a promise, and not pool data.

1 · The pie

Fees are a pie. Liquidity slices it.

Trades inside your range fill one fee pie each day: $6,000 of trades × 1% = $60. Everyone whose range covers the price splits it by liquidity.

$60 a day of fees at the price

The $60 fee pie, before and after a newcomer
SliceBeforeAfter a newcomer
Everyone else$54.00$27.00
Newcomer$0.00$30.00
You$6.00 (10.00%)$3.00 (5.00%)
Same trades, same pie. More liquidity at the price, thinner slices.

2 · Who gets paid

Only liquidity at the price gets paid

As in Start here, a $1.00 fee is split by liquidity. The new part: height is liquidity, and a range away from the price gets $0.00.

Block height is liquidity at the price. A $1.00 fee drops onto the price line at 100. Your range 90 to 110 is a thin block and takes $0.10. Everyone else's range, also 90 to 110, is nine times taller, nine times your liquidity, and takes $0.90. Another range at 112 to 125, away from the price, takes $0.00. price now You 90–110 Everyone else 90–110 9× yours Another range 112–125, away from the price: $0.00 8090100110120 DELL price, illustrative · height = liquidity $1.00 fee $0.10 $0.90
You earn your share of trades inside your range, not the pool's total.

3 · Diminishing slices

Your slice grows fast, then flattens

Beside $90,000 at the price, $10,000 takes 10.00% and $90,000 takes 50.00%. Each extra $1,000 buys a thinner extra slice.

You $10,000 · 10.00% · $6.00/day

Table view
Your liquidityYour shareYour fees a day ($60 pie)
$1,0001.10%$0.66
$10,00010.00%$6.00
$30,00025.00%$15.00
$90,00050.00%$30.00
$270,00075.00%$45.00
Small beside the pool, your share grows almost in step with your dollars. Big, it flattens.

4 · Dilution

Every arrival thins the slices, yours included

Same $60 pie, more liquidity sharing it.

Fees a day per $1,000 at the price

Your share
10.00% → 5.00%
halved, the day the newcomer joined

5 · Width

A narrower range counts as more liquidity

Same dollars, narrower range: thicker at the price. Twice the liquidity lifts you from 10.00% to 18.18%, $10.91 a day. Not twice the share.

Spread wide: $10,000 over 90 to 110, one times as thick at the price. Your slice of the $60 pie: 10.00%, $6.00 a day. price now $10,000 1× thick at the price 90100110 DELL price, illustrative Your slice of the $60 pie you 10.00% everyone else

1× thick: 10.00% · $6.00/day

The catch: price leaves a narrow range sooner. If it stays out, the snuggle re-places your range just past price with the token you hold, no swap (with Auto Snuggle on).

6 · Worked example

Thirty days, one newcomer

Fees After the 15%

Table view
DayFees so farAfter the 15%
10$60.00$51.00
20$90.00$76.50
30$120.00$102.00
The line bends the day a newcomer arrives, not the day you change anything.

Days 1–10 · share 10.00%

$60 × 10.00% = $6.00 a day
× 10 days = $60.00

Days 11–30 · share 5.00%

$60 × 5.00% = $3.00 a day
× 20 days = $60.00

$120.00 in fees, $102.00 after QuantumPools' 15% (of collected trading fees, never your deposit). Illustrative, not a promise.

7 · Try it

Try your own slice

What-ifs, not numbers to look up. Change one thing at a time.

Fee tier
Fee pie per day
$60.00
Your share
10.00% → 5.00%
Your fees per day
$6.00 → $3.00
Fees over 30 days
$120.00
30 days after QuantumPools' 15%
$102.00

Opens on the worked example: newcomer after day 10 gives $120.00 and $102.00.

Dollars stand in for liquidity when ranges have the same width. A narrower range counts as more.

Honest limits

A lens, not a forecast

Useful for

  • Why the pool's trading isn't your income.
  • Why fees fall when others join, or when you add more.
  • Why narrow earns more per dollar while price is inside.

Not for

  • Forecasting. Liquidity at the price changes minute to minute.
  • Trades outside your range: they pay you nothing.
  • Unequal widths, where dollars stop matching liquidity. Gas is left out.

What to do with this

Fees dropped? Check the formula

Now when your fees move, you can name the reason.

Pick a width you can hold; your slice works while price is inside.

See how width stacks your dollars → Configuration
Next up How long will your range hold? → A thicker slice pays only while price stays inside. Your numbers What your Earnings Rate really says → Turn a daily slice into the yearly percentage on your card.

Educational content, not financial advice. Providing liquidity can lose money; nothing here promises returns.