> For the complete documentation index, see [llms.txt](https://docs.smardex.io/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.smardex.io/ultimate-synthetic-delta-neutral/the-usdn-protocol/fees.md).

# Fees

In the [USDN protocol](/ultimate-synthetic-delta-neutral/the-usdn-protocol/glossary.md#usdn-protocol), several fees are applied to ensure the system’s proper functioning, stability, and security. Fees are a key component of the protocol, as they incentivize active user participation, reward [USDN token](/ultimate-synthetic-delta-neutral/the-usdn-protocol/glossary.md#the-usdn-token) holders, and protect the protocol from market risks.

The following sections provide all the essential information about these fees.