When you redeem an onchain fund and receive stablecoins, the fees you may pay usually fall into platform redemption fees, blockchain gas fees, and possible special transaction fees. This is not a fixed rate. The fee structure can vary greatly by product and situation.
First fee: Platform redemption fee
This is the main fee item, and it is different for every product. Looking at several products listed on HashKey, the platform redemption fee is a clear separate charge:
Ondo Short-Term U.S. Treasury Fund (OUSG): Platform redemption fee 0.1%
Guotai Junan USD/HKD Money Market Fund (GUSDT/GHKDT): Platform redemption fee 0.1%, open to professional and retail investors
GFUSD (GF USD Money Market Fund): Platform redemption fee 0.1%
But there are exceptions. HashKey's Bosera wealth management product does not charge subscription or redemption fees during certain promotional periods.
Second fee: Blockchain gas fee
A redemption is basically an onchain transaction, so you need to pay the gas fee of the corresponding blockchain network. This fee is not charged by the fund; it goes to the blockchain network validators.
Gas fees differ a lot between networks. Ethereum mainnet is more expensive, while Polygon, Solana and other networks are relatively cheap. This fee depends on network congestion at the time of redemption, so it is not a fixed number.
Third fee: Special transaction fee (possible item)
In the terms of Guotai Junan tokenized funds, it clearly states that besides the redemption fee, the fund manager may also ask for special transaction fees. These include but are not limited to stamp duty, other taxes, brokerage commissions, bank charges, transfer and registration fees. Not all products have such fees, but Guotai Junan products clearly mention this.
Exceptions: Forced redemption fees
Money market funds may trigger a forced redemption fee in extreme cases. If the fund holds too little cash, government bonds and other assets and the deviation is negative, or if the top 10 holders hold more than 50% of total shares and liquidity is insufficient, redemption requests above 1% of total shares may be charged a 1% forced redemption fee. These situations rarely happen in normal market conditions, but the possibility exists.
Fee examples for different products
| Product | Platform redemption fee | Gas fee | Other special fees |
|---|---|---|---|
| OUSG (Ondo Short-Term U.S. Treasury Fund) | 0.1% | Blockchain gas | None |
| Guotai Junan GUSDT/GHKDT | 0.1% | Blockchain gas | Stamp duty, brokerage commissions, bank charges, etc. (possible) |
| GFUSD (GF USD money fund) | 0.1% | Blockchain gas | None |
| Bosera wealth management product (during certain promotions) | 0% | Blockchain gas | None |
| USYC (Circle tokenized fund) | No redemption fee (daily cumulative up to USD 1 million) | Blockchain gas | None |
Next step
Before redeeming, calculate your actual amount you will receive: fund shares x current net value - redemption fee (%) - blockchain gas fee. If you hold a Guotai Junan product, confirm with platform customer service whether extra fees such as stamp duty or brokerage commissions will be charged. For USYC users, if your cumulative daily redemption amount is up to USD 1 million, you can enjoy the redemption fee waiver.
