Fees

Flambu is committed to offering the lowest fees compared to the traditional sharing economy marketplaces, thanks to the low-cost transactions on the blockchain, combined with a CashBack program backed by FLAM tokens.

The fee structure is as follows:

• The base fee for each rental is 10% from the renter and 5% from the lender.

• Both sides can have fees as low as 50% of their corresponding base fees based on the reviews they get at the end of a rental and it works as follows:

  • At the end of a rental, both sides will be asked to review each other. The renter will review both the lender and the item(s).

  • The quantitative part of a review is the stars in the range of 1 to 5

  • The discount on the fee the renter gets is: $0.5*(RenterStars^2/25)$

  • The discount on the fee the lender gets is: $0.25*(LenderStars^2/25)+0.25(ItemStars^2/25)$

  • The discounts are paid in FLAM as CashBack after the rental ends and only if the two sides provide a review to each other.

Example

• Alice lists her tent for rent for US$20/day on Flambu

• Bob wants to rent Alice's tent for 5 days, for US$100

• Including the base fee (10%) Bob pays US$110 as 110 FBX

• From the 110 FBX, 15 FBX is the base fee (10 FBX from Bob and 5 FBX from Alice) and all 110 FBX is kept in escrow until the end of the rental

• When the rental ends, Alice gives a 5-star review to Bob, and Bob gives a 5-star review both to Alice and to the item

• For simplicity, let's assume 1 FLAM = 1 FBX at the moment the rental ends

• Accordingly, Alice receives 95 FBX + 2.5 FLAM, and Bob receives 5 FLAM as CashBack after the review process

• The remaining 7.5 FBX is sent to the Community Treasury