> For the complete documentation index, see [llms.txt](https://polarischain-1.gitbook.io/polarischain/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://polarischain-1.gitbook.io/polarischain/11.-payment-infrastructure/11.2-deterministic-fee-architecture.md).

# 11.2 - Deterministic Fee Architecture

Polarischain replaces gas auctions and priority bidding with a transparent, predictable fee model optimized for payment network SLAs:

* **Base Fee:** Fixed minimum cost per transaction to prevent spam and Sybil flooding, regardless of payload size.
* **Per-Byte Fee:** Linear scaling based on serialized transaction size to discourage unnecessary bloat while preserving bandwidth efficiency.
* **Fee Routing:**
  * `50%` → Redistribution Pool (ecosystem grants, PQ research, institutional infrastructure)
  * `45%` → Validator Rewards Pool (pro-rata compensation for block production, consensus participation, compliance enforcement)
  * `5%` → Compliance Reserve Top-Up (KYC oracle maintenance, Travel Rule routing, regulator node operations)
* **Fee Estimation API:** Wallets and SDKs query real-time fee schedules prior to submission, enabling exact cost forecasting for retail and institutional clients.


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