Protocol Economics#
TetraFi targets institutional stablecoin settlement - $1M–$10M orders at under 3 bps all-in cost with settlement in under 10 minutes.
Fee Structure#
| Component | Rate | Recipient |
|---|---|---|
| TetraFi protocol fee | 0.15–0.20 bps | TetraFi (platform) |
| Solver execution fee | ~0.80–2.85 bps | Winning solver |
| All-in cost | under 3 bps | - |
TetraFi captures 15–30% of the total execution fee. The remaining 70–85% accrues to solvers - this asymmetry is deliberate: solvers bear the capital and execution risk.
Solver (70–85%)75%
TetraFi (15–30%)25%
$5M @ 2.5 bps = ~$0 all-in (0.025% of notional). TetraFi ~$0 (0.15 bps) · Solver ~$0 (2.35 bps). Scales linearly - $10M → ~$2,500.
Solver Economics#
Solvers profit from the spread between their sourcing cost and the quote they submit. The competitive auction ensures fair pricing.
| Factor | Impact on Solver Profit |
|---|---|
| Capital efficiency | ResourceLock lets solvers fill before user deposits - lower capital requirements |
| Inventory vs. JIT | Inventory solvers earn tighter spreads but carry balance sheet risk. JIT solvers source on-demand |
| Corridor volume | High-volume corridors attract more solvers, compressing spreads |
| Fill speed | Faster fills earn priority in speed-optimized auctions |
| Reliability | Consistent fill rates build reputation, increasing flow allocation |
Comparison with Traditional OTC#
Settlement Approach Comparison
| Feature | TetraFi | Traditional OTC Desk | DEX Aggregator |
|---|---|---|---|
Cost3 features | |||
Spread (bps) | under 3 | 5–15 | 1–5 + slippage |
Transparent pricing | |||
No hidden fees | |||
Speed2 features | |||
Settlement time | under 10 min | T+1 to T+3 | Seconds (same-chain) |
Cross-chain | Manual | ||
Compliance4 features | |||
On-chain compliance | |||
Audit trail (WORM) | Varies | ||
Travel Rule | Manual | ||
MiCA-ready | Varies | ||
Architecture3 features | |||
Non-custodial | |||
Atomic DvP | |||
Competitive auction | |||
Traditional OTC
Traditional Fees
- 5–15 bps spread
- Hidden desk markup
- Opaque pricing
- Manual negotiation
TetraFi
TetraFi Fees
- Under 3 bps all-in
- Transparent auction
- Competitive solver pricing
- Automated execution
Traditional OTC
Traditional Fees
- 5–15 bps spread
- Hidden desk markup
- Opaque pricing
- Manual negotiation
Target Market#
| Parameter | Value |
|---|---|
| Order size | $1M–$10M (institutional scale) |
| Asset class | Stablecoins (USDC, USDT, EURC) |
| Settlement | Cross-chain DvP (ERC-7683) |
| Participants | Asset managers, corporate treasuries, family offices, market makers |
Availability varies by corridor. USDC: widest coverage. USDT / EURC: per-corridor solver support. See Discovery for the live matrix.