> For the complete documentation index, see [llms.txt](https://docs.lends.so/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.lends.so/tokenomics/revenue-model.md).

# Revenue Model

## 📊 Lends Protocol's Economic Model

The Lends protocol employs a **sustainable economic model** that aims to create value for all participants. It does this by charging a 10% fee on the interest received by lenders. This revenue generated is then divided between liquidity providers and stakers. Specifically, 70% of these revenues are returned to liquidity providers, while the remaining 30% are used to reward stakers.

## 💰 GMX-Inspired Fee Distribution

The distribution of protocol fees follows a *GMX-inspired model*. This model is designed to ensure a fair distribution of rewards and incentives for both liquidity providers and Lends token stakers. By adopting this approach, the LENDS protocol encourages users to actively contribute to the platform, fostering a healthy ecosystem that benefits all participants.