Let's review the market competition logic of the past few years. When a leading DEX frontend was still charging fees, the operation was actually quite good. At the same time, various wallets began experimenting with fee models, and as a result, wallets became the main trading entry point for users—ironically, the routing traffic still mostly went through a certain DEX's LP, effectively bypassing the frontend fee, while the wallets earned the intermediary fee. To some extent, the frontend fee model has already become defunct.

Now, the situation has reversed. A certain DEX has eliminated the frontend fee and instead charges directly at the protocol level. What changes does this bring? A simple calculation: if users still trade through wallets, they pay two layers of fees (wallet fee + protocol fee); but if they trade directly through the official interface of the DEX, they only pay the protocol fee once.

This cost difference may have a bigger impact than expected. From a purely transaction cost perspective, directly using the DEX is more cost-effective, naturally attracting more users. So rather than worrying about a decline in trading volume, it’s more likely that trading volume could actually increase—after all, everyone wants to spend less money.