# USDp & sUSDp Fee Distribution Parallel V3 earns revenue from the assets that back USDp and from the fees charged by its modules. Everything collected by the USDp codebase goes through one split: 90% to sUSDp holders and 10% to the DAO Treasury. This page explains where that revenue comes from, how each share reaches its recipient, and how it relates to the share paid to PRL stakers. ## Where the revenue comes from | Source | Module | Today | | --- | --- | --- | | Mint and burn fees | Parallelizer Module | 0.00% mint fee on every accepted asset. 0.00% burn fee on base stablecoins, 0.05% on yield-bearing assets. Both are adaptive and set per asset by the DAO. | | Yield on the backing | Parallelizer Module | The yield-bearing assets held in the backing (sfrxUSD, sUSDe, sUSDS, ygamiUSDC) keep accruing their own yield while the protocol holds them. | | Flashloan fees | Flashloan Module | 0.00%, with a 100,000 cap per flash loan. Any fee collected is sent to the fee collector contract. | | Bridging fees | Bridging Module | 0.00%. The module can charge a fee on the destination chain when lz-USDp is burnt for USDp, but the DAO has set it to zero. | Under the current parameters, the return generated by the assets in the backing is, in practice, the source that funds the rate keepers set. This reading follows from the published parameters rather than from a statement by the protocol, and is pending confirmation by the engineering team. The fee mechanisms are in place, and governance can turn them on at any time, but they are set at or near zero today. The complete fee schedule, including the adaptive mechanism and the redemption penalty, is on the [Fees](/products/parallel-v3/fees) page. ## The split Fees generated by the USDp codebase are distributed as follows: | Recipient | Share | | --- | --- | | sUSDp holders | 90.00% | | DAO Treasury | 10.00% | ## How the sUSDp share reaches holders sUSDp is an ERC-4626 vault: you deposit USDp, receive sUSDp, and the amount of USDp each sUSDp is worth increases over time. There is no deposit or withdrawal fee, no slippage against the vault, and you start earning from the first block after your deposit. The rate at which sUSDp appreciates is not computed on-chain from the revenue. It is a savings rate encoded in the [Savings Module](/products/parallel-v3/how-it-works/savings-module) and adjusted by keepers from the income the protocol generates on the backing. The DAO-approved keepers are listed on the [keepers](/security/keepers) page. :::info To limit the damage a malicious or faulty keeper could do, the maximum rate the sUSDp contract can pay is capped at 35.00%. ::: The Savings Module is live on Ethereum, Base, HyperEVM and Avalanche. A Sonic deployment is being wound down and should not be used for new positions. You can deposit from the [Earn page](https://app.parallel.best/earn) of the app. ## What the DAO Treasury does with its share The 10% share funds the [DAO Treasury](/governance/dao-treasury), alongside the early-unstake penalties paid by PRL stakers who skip the cooldown. The treasury follows a strategy voted by the DAO: every month, the net accumulated stablecoins are swapped into a 30/70 split of wETH and USDp and deployed into PRL/wETH and USDp liquidity pools, with the rewards from those positions compounded back into the treasury. The DAO Multisig executes the strategy, and the aggregated treasury is visible in real time on Octav. ## The PRL stakers' share PRL stakers (sPRL1 and sPRL2) also receive a portion of protocol fees at the end of each epoch, weighted by their ParaBoost. The [PRL tokenomics fee distribution page](/governance/parallel-governance-token-prl/tokenomics/fee-distribution) describes that flow: fees accumulated during an epoch are converted by a keeper, bridged to Polygon PoS and distributed to stakers, who have 12 epochs to claim before the tokens return to the DAO Treasury. That page describes the distribution in PAR terms, as designed before USDp launched, and quotes 15% of protocol fees. It does not yet spell out how that share combines with the 90/10 split above for USDp revenue. Treat the percentage as indicative and check the latest governance proposals for the current figure. ## Related * [Fees](/products/parallel-v3/fees) * [Savings Module](/products/parallel-v3/how-it-works/savings-module) * [USDp & sUSDp implementation](/products/parallel-v3/stablecoins-and-savings/usdp-and-susdp/implementation) * [DAO Treasury](/governance/dao-treasury)