BoundBound Docs
Economics

Money Flows

Where money enters, moves, and exits the Bound ecosystem.

Money Flows

CCP itself charges zero protocol fees — like TCP/IP, it's a free standard. But participants pay real costs and earn real revenue within the ecosystem.

Flow Overview

Loading diagram...

Normal Operation

In the happy path — which should be the vast majority of cases — money flows are straightforward:

  1. Operator deposits reserve into a ReserveVault contract. This is collateral, not a fee — it's returned when the certificate expires and the grace period ends, provided no claims are made.
  2. Operator pays audit fee held in FeeEscrow, released to the auditor after certificate expiry plus grace period.
  3. Auditor locks a stake in AuditorStaking proportional to the containment bound they're attesting to (C2: 3%, C3: 5%). Released after the certificate expires plus a grace period.

No money leaves the system unless something goes wrong.

Challenge Scenario

When a challenger successfully proves containment has degraded:

SourceRecipientShare
Auditor stakeChallenger30%
Auditor stakeVerifier pool50%
Auditor stakeBurned20%
Fee escrowClawed back to operator100%

The burn component prevents collusion — even if challenger and auditor are the same entity, value is destroyed.

Protocol Sustainability

CCP charges no fees. The protocol is sustained through:

  • Grants and ecosystem funding during early phases
  • Corporate sponsorship from integrators who benefit from the standard
  • Optional premium tooling (SDK features, dashboards) as a fallback

The zero-fee design is intentional. A protocol that charges rent creates incentives for forks and workarounds. CCP grows by being the cheapest possible standard to adopt.

On this page