Understanding the fees associated with using JPG Store is essential for making informed decisions. These fees are categorized into two main types: JPG Store Fees and Cardano Fees. Each serves a specific purpose and applies in different scenarios.
JPG Store Fees
These fees are specific to transactions conducted on the JPG Store platform, including activities such as buying or selling NFTs, minting collections, and facilitating loans through lending and borrowing mechanisms.
Selling an NFT:
Amount: 2% of the sale price, paid by the seller.
When Incurred: This fee applies to offers and collection offers as well and is paid when the NFT is sold.
Lending and Borrowing:
Amount: 2% of the loan amount, split as:
1% paid by the lender.
1% paid by the borrower.
When Incurred:
1% is paid by the borrower when the loan is accepted.
1% is paid by the lender when the loan is repaid or defaulted.
Creating a Mint:
Amount: 5% of the mint price.
When Incurred: Deducted from the mint price when a user mints an NFT before sending the pay-out to the creator.
Minting an NFT:
Amount: 2 ADA fee paid for each NFT minted.
When Incurred: Paid by the minter when minting an NFT, not the creator.
Note: All JPG Store fees have a minimum of 1 ADA, even if the calculated percentage of the fee is less than 1 ADA. This is due to Cardano's MinUTxO requirement.
Cardano Fees
Cardano fees are small costs built into the system to keep the blockchain secure and running efficiently.
Regular Transaction Fees:
Purpose: Compensates network validators for processing transactions.
Amount: A small fee calculated based on the size of the transaction, usually around 0.2 - 0.4 ADA.
When Incurred: Anytime a transaction is successfully sent on the blockchain.
Contract Execution Fees:
Purpose: Covers the cost of executing smart contracts.
Amount: Varies depending on the operation’s complexity.
When Incurred: When making a transaction that involves the use of smart contracts, such as using the JPG Store marketplace.
Understanding these fees ensures transparency and helps you navigate the JPG Store platform and the Cardano blockchain more effectively.
