> For the complete documentation index, see [llms.txt](https://docs.utopiabnb.com/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.utopiabnb.com/dapp/platform-fee.md).

# Platform Fee

Utopia applies a 4% platform fee on deposit and reward collection transactions. These fees are strategically reinvested to bolster the ecosystem's Total Value Locked (TVL) and fund marketing initiatives for sustainable growth.
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In contrast, the compounding action carries a 0% fee. This makes the 7-day compounding strategy the most efficient method for maximizing long-term returns, as it allows you to reinvest 100% of your earnings to accelerate the growth of your Explorer fleet.