> For the complete documentation index, see [llms.txt](https://bound-1.gitbook.io/bound-docs/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://bound-1.gitbook.io/bound-docs/boundary-perps/pricing/readme-1.md).

# Pricing Overview

Boundary Perps use request-for-quote pricing. Each quote is calculated for one specific product configuration and returns a fixed payout that can be locked by accepting the quote.

## What Affects a Quote?

A quote can depend on:

* The selected product and its payoff
* The current Hyperliquid mark price
* The position's boundaries and chosen outcome
* The USDC stake
* Expected funding and hedge execution costs
* The exposure already held by the book
* The liquidity pool's spread

Different Boundary Perps products can use different pricing models. Each product therefore has its own page explaining how its inputs affect the payout.

## Fixed Payout

The displayed payout is the total amount paid on a win, including the returned stake. It is not the same as profit.

```
Gross profit = fixed payout − stake
```

The accepted payout is the book's fixed liability under normal operation. In an extreme insolvency, the final amount paid may be reduced by the protocol's [socialized-loss mechanism](/bound-docs/boundary-perps/risks-and-safeguards.md#insolvency-and-reduced-payouts).

## Quote Expiration

Quotes are only valid for a short period because market prices, funding conditions, and book exposure can change.

When you accept a quote, the contract recomputes the payout using current conditions. Your transaction includes a **minimum payout**. If the new payout is lower than that amount, the transaction reverts and no position opens.

## Pricing Model Factors

The pricing model accounts for the expected cost of maintaining the protocol's hedge, among other factors, including:

* Expected funding costs
* Expected hedge execution costs
* Impact on net exposure\*
* Volatility of the underlying asset
* Liquidity pool spread

*\*A new position impacts the book's net exposure. A position that offsets existing exposure can receive more favorable pricing than one that increases imbalance.*

## Protocol Fee

A protocol fee is charged separately when a position opens and on early-close. It is shown before acceptance and is paid in addition to the stake. Because it is separate, the full stake remains the basis for the position's payout and hedge calculations.