8 — How Fees & Capital Work

Capital Allocation

When an idea reaches its funding goal, the raised capital is split:

80% goes to the project treasury (managed on Squad)
20% goes to liquidity pools so the token can be traded immediately

The raise is converted to 80% USDG and 20% USDC. Liquidity is deployed across Omnipair (in USDC) and Meteora (in USDG). The Meteora pool also opens the Decision Market on Combinator.trade.

Trading Fees

Every trade on an idea token generates fees (2.5% per trade). These fees are distributed to the ecosystem partners who make this infrastructure possible:

Partner	Fee	Applied on
Meteora	20% of fees generated	Meteora pools
Omnipair	10% of fees generated	Omnipair pool
Omnipair	1% withdraw fee	On LP withdrawal
Combinator.trade	0.5% of volume (Meteora pool they own)	Decision Market pool

Spark Fee Distribution

After partner fees are deducted, the remaining trading fees are split:

10% to the Ideator (the person who submitted the idea)
40% to the Project Treasury
40% to Spark
10% token of the idea buyback

Graduation Fee

When an idea "graduates" (token officially launches after the hackathon), Spark takes 1% of the total amount raised as a one-time graduation fee.

What this means for you

These rules may evolve as we iterate and learn from each launch. Community feedback is welcome and encouraged. Don't hesitate to share as much as possible with the Spark team. We're building this together.