# DAO Protocol Fees Clipper adds a small spread (\~10bps) to each trade. 100% of this spread goes to AdmiralDAO as protocol fees. DAO protocol fees are published by [Token Terminal](https://tokenterminal.com/terminal/projects/clipper/financial-statement) and are also publicly auditable [on-chain](https://etherscan.io/address/0xD8Cc0304de58fCE5147796606Db14500d94b5EF2?ref=blog.clipper.exchange). ### How the Spread Works The spread is measured by summing the positive difference between Clipper input and output on swaps, according to on-chain price oracles. This is fully verifiable on-chain, so LPs don’t need to take anyone’s word for it. This spread generates excess returns *on top of* Clipper's rebalancing strategy and no impermanent loss benchmark ("benchmark outperformance"). This structure means **LPs only pay fees if they profit.** This is a big difference from other AMMs, which charge fees on all trades, even those that lose money for LPs. You can track benchmark outperformance [here](https://clipper.exchange/data/benchmark). --- # Agent Instructions: Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter: ``` GET https://docs.clipper.exchange/introduction/dao-protocol-fees.md?ask= ``` The question should be specific, self-contained, and written in natural language. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.