# \[BIP-871\] Balancer \<-\> QuantAMM Protocol Fee Framework

**URL:** <https://forum.balancer.fi/t/bip-871-balancer-quantamm-protocol-fee-framework/6664>\
**Category:** General Proposal\
**Created:** [August 26, 2025, 2:08pm UTC](https://forum.balancer.fi/t/bip-871-balancer-quantamm-protocol-fee-framework/6664 "2025-08-26T14:08:08Z")\
**Posts on this page:** 4\
**Page:** 1

<div class="post-metadata">

**Author:** ![mjfw3](https://yyz1.discourse-cdn.com/flex027/user_avatar/forum.balancer.fi/mjfw3/32/3550_2.png) [@mjfw3](https://forum.balancer.fi/u/mjfw3)\
**Post date:** [August 26, 2025, 2:08pm UTC](https://forum.balancer.fi/t/bip-871-balancer-quantamm-protocol-fee-framework/6664/1 "2025-08-26T14:08:08Z")

</div>

#### Intro:

QuantAMM went live on Balancer V3 in May 2025. The intention of this document is to confirm the protocol fee agreement between Balancer DAO and the QuantAMM Team. QuantAMM serves to facilitate the demand for Blockchain Traded Funds, fulfilling the original ethos of Balancer’s managed pool initiative. This agreement serves to align Balancer and QuantAMM’s financial commitments and expectations around the product launch, support, and go to market strategy.

#### Summary:

Fees will be divided following the principles of [BIP-734](https://snapshot.box/#/s:balancer.eth/proposal/0x7a451385e49e341dce818927bf36aa35dfc6e42dabe328cb34e873c84fa452e4), with the protocol fee portion divided in different ways depending on if a QuantAMM pool (BTF) is a Core Pool or not, and if it utilizes a veBAL gauge or not.

#### Specification:

When a veBAL gauge is utilized and active on a QuantAMM pool:

- Global protocol fee must be set to 50% to have uniformity with all Balancer pools

- Of the 50% protocol fee, if the pool qualifies for core pool status, all respective core pool recycles will happen as voted on via [BIP-734](https://snapshot.box/#/s:balancer.eth/proposal/0x7a451385e49e341dce818927bf36aa35dfc6e42dabe328cb34e873c84fa452e4).

- If the pool has a gauge and is not a core pool, the revenue split is a 50% QuantAMM, 50% Balancer (to be split between DAO and veBAL holders)

When no veBAL gauge is utilized by a QuantAMM pool:

- 80% of protocol revenue is retained by QuantAMM, 20% is retained by Balancer DAO.

- This is required for display on the frontend, api, router, and integrations support from Balancer infrastructure.

This fee split will be reviewed 18 months after QuantAMM launch (launch May 2025, review in November 2026).

#### Conclusion:

The fee split terms here are equitable and are backed by both the QuantAMM team and representatives from the Balancer DAO. They align incentives and reflect the value created by both teams, fitting with and strengthening the positive long term relationship between the two protocols.

#### Implementation:

The fee recipient on the QuantAMM side will be the following gnosis safe: 0xd785201fd2D9be7602F6682296Bb415530C027Ef

The fee share configuration will be specified by defining a new partner configuration in the Balancer Maxis multi-sig ops repository as per [docs](https://github.com/BalancerMaxis/multisig-ops/blob/main/config/PARTNER_AND_INCENTIVE_CONFIG.md). For an initial phase, QuantAMM pools will be added manually to the fee share list. If a pool is a core pool or not is defined by our automation processes. Depending on the growth of QuantAMM pools, an automated way of adding these to the config shall be developed at a later time-point.

---

<div class="post-metadata">

**Author:** ![Xeonus](https://yyz1.discourse-cdn.com/flex027/user_avatar/forum.balancer.fi/xeonus/32/3621_2.png) [@Xeonus](https://forum.balancer.fi/u/Xeonus)\
**Post date:** [August 28, 2025, 7:47am UTC](https://forum.balancer.fi/t/bip-871-balancer-quantamm-protocol-fee-framework/6664/2 "2025-08-28T07:47:30Z")

</div>

Partners like QuantAMM are crucial for the success of Balancer as a platform for AMM innovation. Therefore, it is only logical to have a fee sharing model in place.

From a technical standpoint:  
We have been scaling our fee allocator infrastructure significantly and are ready to support this request. The distribution will follow a unified pattern that will support any upcoming fee sharing agreement.

In full support!

---

<div class="post-metadata">

**Author:** ![Xeonus](https://yyz1.discourse-cdn.com/flex027/user_avatar/forum.balancer.fi/xeonus/32/3621_2.png) [@Xeonus](https://forum.balancer.fi/u/Xeonus)\
**Post date:** [September 4, 2025, 10:53am UTC](https://forum.balancer.fi/t/bip-871-balancer-quantamm-protocol-fee-framework/6664/3 "2025-09-04T10:53:53Z")

</div>

[https://snapshot.box/#/s:balancer.eth/proposal/0x7ad8c402d3de95ed8c50bd125a9c70e0450e657b80f2991711217509f84203da](https://snapshot.box/#/s:balancer.eth/proposal/0x7ad8c402d3de95ed8c50bd125a9c70e0450e657b80f2991711217509f84203da)

---

<div class="post-metadata">

**Author:** ![juani](https://yyz1.discourse-cdn.com/flex027/user_avatar/forum.balancer.fi/juani/32/2669_2.png) [@juani](https://forum.balancer.fi/u/juani)\
**Post date:** [September 5, 2025, 5:54pm UTC](https://forum.balancer.fi/t/bip-871-balancer-quantamm-protocol-fee-framework/6664/4 "2025-09-05T17:54:47Z")

</div>

Let’s go!

Happy to have such a wonderful partner building on Balancer.
