# Papertrade Keeps PAPER Nontransferable as It Revises Fees and Minting

By Simon Yoon

Canonical URL: https://www.tokenpost.com/news/technology/35378
Published: 2026-10-20T06:39:00.000Z
Updated: 2026-10-20T06:39:00.000Z
Section: Technology

> Planned fee changes target trades closing within 0.06% or 0.1% of their opening price. The issuance formula would shift to a time-weighted multiplier if the pool nears insolvency.

Papertrade has no current plan to allow transfers of its PAPER token outside its contract and plans to revise short-term trading fees and token issuance to address risks tied to short exposure against its pool.

The fee changes will roll out in phases and apply only when a trade closes within 0.06% or 0.1% of its opening price, depending on the applicable threshold. Trades closing farther away will keep their current fees. Papertrade said backtests using data since launch show the changes affect bot profitability about 15 times as much as ordinary traders’ profitability, potentially making room to raise open-interest limits.

Under the planned issuance curve, each $1 million in future losses would trigger minting equivalent to about 0.1% of PAPER’s then-current supply. The precise ratio will depend on the mint rate when the contract is upgraded. If the pool nears or enters insolvency, Papertrade plans to replace fixed issuance of 100 PAPER per $1 lost with a time-weighted multiplier that increases over time. The team said this would gradually dilute earlier holders’ share relative to newer users.

The upgrade will also initially limit builder code to a whitelist and change some contract permissions to guard against gas-consumption attacks. Papertrade plans to announce when the upgrade enters its time lock; launch is scheduled for 24 hours later, pending a final security check.