How Trading Fees Work on Limitless

Our fee system is designed to reward early conviction, punish manipulation, and give loyal traders massive discounts – up to 60% off over time. 

Whether you’re buying into markets early or sticking around for the long haul, this system is designed to make your trading smarter and more rewarding.

Here’s how it works – and how you can play it to your advantage.

The Basics

Fees on Limitless adapt to both the market price and your trading experience.

For AMM markets, the structure is simple: a 0.25% flat fee applies to all trades. No curves.

In order book markets, the fee structure looks like this:

• Fees range from just 0.03% to 3% — the higher the probability of event, the lower the fee.

• Pay less when you risk less — pay fair when you gain more. Traders with smaller returns pay lower fees. Those earning higher returns (>2x) pay slightly higher fees — a fair trade for capturing more upside.

• Buy-side fees are paid in outcome tokens (contracts).

• Sell-side fees start at 0% and gradually rise to 1.5% as the event probability approaches 50%, paid in collateral (like USDC).

Important: Fees Only Apply on Takers

Fees are only charged at the moment if your order instantly settles. Here’s what that means:

• Limit orders (makers) don’t pay fees. Even though you sign a transaction with fee terms, you pay nothing if your order is placed in the book. 

• Market orders (takers) are the only ones that actually pay fees. 

• So if you provide liquidity to the book, you can trade completely fee-free.

The Intelligence: How the Fee Curve Works in Your Favor

This is where things get interesting.

Our fee system is built to reward smart trading behavior, and the timing of your entry or exit affects your cost. The fee curve adjusts dynamically based on where the market price is when you trade.

Visual chart of this fee curves

Here’s what that means in practice:

Buy Trades

• Buy early (price ≤ 0.5): You pay base fee but get the best odds

• Buy late (price > 0.5): You pay a lower fee, but the price is higher (worse odds)

Sell Trades

• Sell early or late (away from 0.5): Lower fees

• Sell at 50/50 (price = 0.5): Highest fee

Why? Because 50/50 is when the market is most uncertain, and when opportunistic exits can distort price.

By discouraging exits at this midpoint, we protect the integrity of the market.

A Real Example: How the Fees Play Out

Let’s walk through a scenario to show how this works in practice: 

You’re buying YES shares in a market where the current probability is 40% ($0.40).

• Your buy fee = 3.00%

• Since the price is below 50%, you pay the full fee, but you’re getting in early, which means better payout odds

• Later, if you sell when the market hits 70%, you’ll pay a lower sell fee because you’re far from the 50/50 uncertainty zone

• Meanwhile, someone who buys in at 70% pays a lower buy fee, but gets worse odds

It’s all about conviction. If you act early and stay smart, the system gives you the edge.

Why It Works: More Than Just a Fee

In our system, fees aren’t just a cost. Inspired by proven models (including Polymarket and Kalshi), they became the fuel that powers better markets. 

Our fees are: 

• Rewarding early traders for taking risk

• Discouraging flip-flopping and short-term manipulation

• Incentivizing long-term, loyal participation

• Keeping markets fair, liquid, and meaningful

On Limitless, the fee model is a part of the edge. Enter early? You pay more – but the odds are in your favor. 

Ready to Trade Smarter?

Fees are evolving, and Limitless is one of the few protocols that understands that. They are now part of the game like everything else. 

Want to start trading?

➡️ Connect your wallet at Limitless.Exchange

Make your next trade smarter.