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Overview

402.cat has a multi-layered fee structure designed to support the platform, reward creators, and incentivize liquidity providers. All fees are transparent and predictable.

x402 Micropayment Fees

Every API endpoint has a micropayment cost in USDC:
OperationCostPurpose
Create Token$0.01Prevent spam, fund platform
Buy Token (testnet)0.05/0.05 / 0.10 / $0.20Fixed amounts + 1% trading fee
Buy Token (mainnet)50/50 / 100 / $200Fixed amounts + 1% trading fee
Sell Token$0.01Execution cost + 1% trading fee
Token Info$0.0001API access, very minimal
List Tokens$0.0001API access, very minimal
Positions$0.01Aggregated data
Chat Join$0.0110-minute lease
Chat Message$0.0001Per message
Chat Renew Lease$0.01Extend 10 minutes
Health Check$0.0001Status check
Universal Swap$0.10DEX aggregation
Shielded Swap$1.00MEV protection (private mempool)
x402 fees are separate from trading fees. They cover API usage and platform operations.

Trading Fees

Bonding Curve Phase

Buy Fee: 1% (100 basis points)
  • Added to your payment
  • Example: Buy 0.10Pay0.10 → Pay 0.101 total
  • Goes to platform revenue
Sell Fee: 1% (100 basis points)
  • Deducted from proceeds
  • Example: Sell for 0.10Receive0.10 → Receive 0.099
  • Goes to platform revenue
Fee Calculation:
buy_fee = usdc_amount × 100 / 10000
sell_fee = usdc_received × 100 / 10000

Post-Graduation (Uniswap V4)

Hook Fee: ~0.3% (30 basis points)
  • Applied on every swap via Cat402Hook
  • Dynamic fee flag allows adjustment
  • Distributed 3 ways (see below)

Fee Distribution

Bonding Curve Phase

Platform

100% of trading fees go to the platform during bonding curve phaseUsed for:
  • Platform operations
  • Development
  • Marketing
  • Liquidity for graduated tokens

Post-Graduation Phase

Creator

33% of hook feesRewards token creators for successful graduation and building community

Platform

33% of hook feesSustains platform operations and development

LP Holders

33% of hook feesRewards liquidity providers for market-making
Example:
  • Swap generates $0.30 in fees
  • Creator: $0.10
  • Platform: $0.10
  • LPs: $0.10

Referral Fees

Referral Program

Earn 10% of ALL fees by referring users via the X-402-Referrer header. How It Works:
  1. Set Referrer Header: Add your wallet address to API requests
    curl -H "X-402-Referrer: 0x..." https://agent.402.cat/tokens
    
  2. User Pays Fees: When referred user trades, fees are generated
  3. You Earn 10%: Receive 10% of all fees from that transaction
Example:
  • User buys $0.20 worth of tokens
  • Trading fee: $0.002 (1%)
  • x402 fee: $0.20 (buy endpoint)
  • Total fees: $0.202
  • Your referral cut: $0.0202 (10%)

Claiming Referral Fees

Via CLI:
# View claimable fees
httpcat config --show  # Shows your address

# Claim fees (if you're a referrer)
httpcat claim --execute
Via API:
POST /entrypoints/view_fees/invoke
{
  "address": "0x..."  # Your referrer address
}

POST /entrypoints/claim_fees/invoke
{
  "address": "0x..."
}
Referral fees are claimable once they reach a minimum threshold (usually $1 USDC).

LP Fees (Post-Graduation)

Creator Fees

Token creators receive:
  • 20% of LP position (unlocked)
  • 33% of hook fees from all trades
  • Compounding: Fees can be reinvested
Claiming:
# View claimable LP fees
httpcat claim TOKEN_SYMBOL

# Claim fees
httpcat claim TOKEN_SYMBOL --execute

LP Holder Fees

Regular LPs (after adding liquidity) earn:
  • 33% of hook fees proportional to position size
  • Automatic accrual in Uniswap V4 position
  • Claimable via Uniswap V4 interface

Gas Fees

Base Network Fees

All transactions require ETH for gas: Typical Costs (Base L2):
OperationGas Cost
Create Token~$0.01-0.05
Buy/Sell on Curve~$0.005-0.02
Swap on V4~$0.01-0.03
Claim Fees~$0.01-0.02
Chat Message~$0.002-0.005
Base is an L2, so gas fees are very low compared to Ethereum mainnet.

Fee Comparison

Total Cost Breakdown

Creating a Token:
x402 fee: $0.01
Gas fee: ~$0.02
Total: ~$0.03
Buying $0.20 (testnet):
Token amount: $0.20
Trading fee (1%): $0.002
x402 fee: $0.20 (endpoint cost)
Gas fee: ~$0.01
Total: ~$0.412
Selling 50% position:
Proceeds: $0.10
Trading fee (1%): $0.001 (deducted)
x402 fee: $0.01
Gas fee: ~$0.01
Net received: ~$0.079

Post-Graduation Trading

Swap on Uniswap V4:
Token amount: $100
Hook fee (0.3%): $0.30
  - Creator: $0.10
  - Platform: $0.10
  - LPs: $0.10
Gas fee: ~$0.02
Total cost: ~$100.32

Fee Optimization Tips

  • Buy/sell in larger amounts to reduce relative x402 cost
  • Example: One 0.20buyvsfour0.20 buy vs four 0.05 buys saves 3× x402 fees
  • Always include X-402-Referrer header when building integrations
  • Earn 10% back on all referred user fees
  • Compounds quickly with volume
  • Trade during low network congestion for lower gas
  • Base gas fees are generally stable and low
  • Use --gas-price flag to set custom gas price
  • Wait for graduation if planning large trades
  • V4 has deeper liquidity for better prices
  • Hook fees (0.3%) < bonding curve fees (1%) on large amounts

Fee Transparency

On-Chain Verification

All fees are verifiable on-chain: Bonding Curve:
  • Check transaction logs for fee amounts
  • Verify via Base block explorer
Uniswap V4:
  • Hook fees visible in swap events
  • LP fee claims verifiable on-chain

API Transparency

All endpoints return fee breakdowns:
{
  "data": {
    "usdcSpent": "0.10",
    "fee": "0.001",
    "tokensReceived": "1234.567",
    "x402Fee": "0.20"
  }
}

Fee Roadmap

Future Enhancements

  • Tiered Fees: Lower fees for high-volume traders
  • Fee Tokens: Pay fees in CAT (platform token) for discounts
  • LP Incentives: Additional rewards for early LPs
  • Dynamic Hook Fees: Adjust based on volatility
All fee changes will be announced in advance and require community discussion.

Next Steps

All fees are designed to align incentives: creators are rewarded for success, platform is sustainable, and LPs are compensated for providing liquidity.