Fees Structure

1. Overview

The escrow contract charges a 3% fee on all transactions to maintain the service and support dispute resolution. This fee is automatically deducted when the buyer deposits funds into escrow.

2. How Fees Work

2.1 Fee Calculation

• Fee Percentage: Fixed at 3% of the total deposit.

• Example:

  • Deposit: 100 USDT

  • Fee: 3 USDT (100 × 3%)

  • Amount in Escrow: 97 USDT

2.2 Fee Distribution

• Fees accumulate in the admin's balance within the contract.

• The admin can withdraw fees at any time to a designated wallet.

2.3 Where Fees Go

Amount	Destination	Purpose
3%	Admin wallet	Covers operational costs, dispute resolution, and protocol maintenance.

3. When Are Fees Applied?

Fees are only charged once, when the buyer creates the deal:

1. Buyer deposits funds → 3% fee is deducted.

2. Remaining amount (97%) is locked in escrow.

3. No additional fees on withdrawals or dispute resolutions.

4. Why Do Fees Exist?

• Sustain the protocol (smart contract maintenance, upgrades).

• Fund dispute resolution (admin arbitration, security audits).

• Prevent spam (minimal fee discourages fake deals).

5. Comparing Fees to Alternatives

Service	Fee	Notes
This Escrow Contract	3%	Transparent, one-time, on-chain.
Traditional Escrow	5–10%	Higher fees, slower, centralized.
Direct Transfer	0% (but risky)	No protection against scams.

6. How to Check Fees

You can verify fees in two ways:

6.1 On-Chain Verification

• View the DealCreated event, which shows:

  event DealCreated(
      uint256 dealId,
      uint256 amount,
      uint256 fee,
      uint256 amountAfterFee
  );

• Example: A deposit of 100 USDT emits:

  {
      "amount": 100,
      "fee": 3,
      "amountAfterFee": 97
  }

6.2 Via Smart Contract Functions

• Admin fees: getAdminBalance(tokenAddress) → Returns total fees collected.

• User balance: getUserBalance(userAddress, tokenAddress) → Shows available funds (excludes fees).

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Summary

✅ 3% fee → Deducted at deposit. ✅ No hidden costs → Only charged once. ✅ Transparent tracking → On-chain visibility. ✅ Funds protocol growth → Supports security & arbitration.