Fee System Basics

The Giza Protocol implements a fee system designed to sustain the network's decentralized infrastructure rather than generate revenue for Giza as an entity. When agents execute transactions on the Giza AVS, they generate fees that can be paid in any whitelisted token, not limited to the native GIZA tokens.

These fees flow through a carefully designed distribution mechanism: a portion of collected fees is swapped to GIZA via liquidity pools, while the remaining portion goes directly to network operators who stake GIZA as security collateral. This creates a self-reinforcing economic loop where increased protocol usage directly rewards operators securing the network.

The liquidity pools themselves, initially seeded by the Giza Association but open to LPs, pair GIZA with other tokens and generate standard AMM transaction fees. Through this structure, token value accrual is bound to protocol utility, creating sustainable economic alignment without extractive fee models.