Fee Batch

The ZenStake Fee Batch is a key component of the protocol that efficiently distributes staking fees to governance participants and the treasury. It ensures smooth fund allocation from vault rewards to the broader ZenStake ecosystem.

How It Works

The Fee Batch aggregates fees from vaults to optimize gas efficiency. Instead of forwarding small amounts frequently, which increases transaction costs, the system batches fees before distribution.

When processing transactions, the Fee Batch executes a multicall to:

• Allocate a portion of fees to staking incentives

• Swap a portion for stablecoins and transfer them to the treasury

This structured approach balances efficiency with cost-effectiveness.

Cross-Chain Fee Management

Each chain using ZenStake employs its own Revenue Bridge to aggregate fees before transferring them to the Fee Batch. Once the funds accumulate to a sufficient level, the Fee Batch executes its predefined allocation process, ensuring seamless distribution without unnecessary swaps.

Efficient Revenue Distribution

Once collected, fees are split between staking incentives and the treasury based on predefined allocations. Staking incentives may require conversion before distribution, while treasury inflows remain stable, ensuring the long-term sustainability of the ecosystem.

The ZenStake Fee Batch streamlines revenue flow, minimizes costs, and ensures rewards are optimally distributed across the ecosystem.

Fee Batch Mechanism