League of Ancients Marketplace Fees: A Quick Breakdown
Hello LOAders! As the marketplace launch nears, we have prepared a full breakdown of all fees required to transact on the marketplace. This way, you’ll be fully prepared when the time comes.
The team has put a lot of thought into deliberating the fees for each type of transaction, with the goal of ensuring that the LOA Token is well-utilised and will appreciate in value over time.
Understanding the Treasury Pool
As depicted in the LOA Economy section of our whitepaper, ALL marketplace fees will go into the Treasury Pool.
20% will be reinvested into game development and operating costs to ensure the long-term success of the game. The remaining 80% will remain in the Treasury Pool. Once governance is introduced, the community (Yes, YOU!) can decide how this 80% will be used. This can be in the form of:
- Funding community projects
- Funding tournament prize pools
- Increasing yield farming rewards
- Increasing play-to-earn rewards
- …or even burning it by removing it from circulation altogether.
Ultimately, we believe in a truly decentralised gaming ecosystem where players will be able to make decisions based on their wants and needs, thus improving League of Ancients as time goes by.
We continue to abide by our core principle of putting power into players’ hands, and thus leave the decision of how to utilise these funds up to the community.
When the marketplace launches, all capsules you have previously purchased will appear in the NFT Marketplace as a Locked Capsule after you connect your wallet. To unlock it and reveal your NFT, you will need to vest your NFT Capsule for 60 days along with the corresponding amount of LOA tokens, which varies depending on the rarity of your capsule.
Once this is done, it will turn into a Vested Capsule. After the 60 days of vesting is up, it will be converted into an Unlocked Capsule and your vested tokens can be reclaimed. You may then pay the minting fee to reveal your NFT skin.
Listing and Trading Fees
Unlocking your capsule will reveal the unique attributes of your NFT. Variables include rarity, hash power, and hero attributes. If Lady Luck smiles upon you, you may mint an extremely desirable NFT with a combination of high rarity, superior hash power, as well as attributes that complement the hero (e.g. HP on tanks, or damage on Marksmen).
Should you strike gold while minting your NFT, you now have to decide whether to use it and boost your earning potential and stats in games, or sell it for a good price to players who want to collect the best of the best.
If you choose the latter, you will need to prepare 800 LOA tokens to list your NFT. The fee is same across the board for all NFT skins and capsules, and this fee— like all other marketplace fees — will be entered into the Treasury Pool and eventually returned to the community.
Once a sale is successful, 5% from the transaction will be charged to the seller.
Yield Farming Withdrawal Fees
Undoubtedly, yield farming is one of the most highly anticipated features of the marketplace. The longer you stake, the more you will earn! To incentivise and reward long term yield farming, the withdrawal fees will be reduced according to the duration of your stake. Once your staking period has crossed the 180-day threshold, you will pay NO fees for withdrawing your staked tokens!
Now that the current marketplace fees have been disclosed, you may finally begin preparing your LOA Tokens in anticipation of the full marketplace launch. Please be reminded that you will need to possess at least one Alpha or Beta capsule to participate in alpha or beta testing respectively, so mint wisely!
Do also note that these fees may be adjusted in the future once governance is introduced. Among other things, players may vote on how they want the economy structured, which ties back to our belief in empowering our players to decide upon the future of League of Ancients. While we believe that the fees introduced will protect the NFT prices and increases LOA Token utility in the long run, we also believe in enabling the community to take ownership of projects they are deeply invested in —after all, decentralised ownership is one of the cornerstones of the crypto industry.
In the coming days, we will also be releasing a series of tutorials to guide players on the ins-and-outs of the NFT Marketplace, so you will be fully ready to start transacting upon launch, so please stay tuned!