Fees
One fee: 5% of profit, above a high-water mark. No management fee, no deposit fee, no exit fee.
How the high-water mark works
The vault records the highest share price it has reached. Fees are only charged on gains above that line. If the share price falls and later recovers, the recovery is free — you are not charged twice for the same dollar.
| Event | Share price | Fee charged |
|---|---|---|
| Start | 1.00 | — |
| Gain | 1.10 | 5% of 0.10 |
| Drawdown | 0.95 | none |
| Back to 1.10 | 1.10 | none — still below the mark |
| New high | 1.20 | 5% of 0.10 |
Where the fee goes
Collected fees are the intended funding for the buyback: revenue buys $UNIVAULT on the open market and what is bought is burned, so usage feeds the token instead of the other way round. Until the buyback module is wired in, fees accrue to the fee recipient.