LTU has exactly one cost: the Origination Fee, paid at contract opening. It is comprehensive, itemised, and final, and it is also your maximum possible loss. No margin calls, no funding rates, no variable charges, ever.
Three disclosed components. One transparency index. A risk cap you know before you commit.
The Origination Fee comprises three components, each disclosed in itemised form in your Contract Summary at execution. You see the percentage and the absolute value of every component before you confirm.
BitLease Fee
Compensates contract execution, system operation, and platform infrastructure. Itemised with percentage and absolute values in your Contract Summary before you confirm.
Finance Charge
Compensates capital allocated from the Lessor pool over your tenor. Structurally analogous to the finance charge in hire-purchase frameworks, not interest, because nothing is lent.
HyperHedge Fee
Allocated to the segregated HyperHedge Pool for engineered downside coverage on your position. Never commingled with operating revenue. Not an insurance product, a solvency mechanism.
The HyperHedge Fee is segregated and allocated directly to the HyperHedge Pool at execution, never commingled with BitLease operational revenue or Lessor distributions.
ONE PAYMENT. THREE COMPONENTS. EVERY NUMBER ON THE TABLE.
Comparing costs across tenors measured in hours, days, and months needs a common yardstick. The Lease Cost Ratio annualises your total contract cost into a single comparable figure, shown before you commit.
LCR · Lease Cost Ratio
The annualised total cost of your contract as a percentage of the asset's value at execution.
One transparent index, distinct from APR and interest-based credit measures, because LTU is not a lending arrangement.
Component allocation is determined by HyperHedge under a published methodology: supply and demand, asset volatility, and tenor length.
IF A COST EXISTS, IT IS IN THE LCR. IF IT IS NOT IN THE LCR, IT DOES NOT EXIST.
At every settlement event, HyperHedge maintains the solvency invariant: surplus above your obligation accrues to you; any shortfall below it is absorbed by the pool. The boundary of your risk is the fee, nothing more.
Once the Origination Fee is paid, your exposure is fully defined.
Maximum possible lossThe Origination Fee
- Margin callsNone
- Liquidation eventsNone
- Funding rate chargesNone
- Variable chargesNone
- Additional liabilitiesNone
If the asset value at settlement cannot cover the obligation, HyperHedge absorbs the shortfall. You never carry a negative balance, and you never owe more than the fee already paid, across all four Contract Classifications.
UPSIDE: YOURS. SHORTFALL: HYPERHEDGE'S. THAT IS THE WHOLE DEAL.
A capped loss is still a loss. These are the terms that deserve your attention before you open a position, stated plainly, the way they are written into the contract.
Non-Refundable, Always
The Origination Fee is non-refundable under every settlement scenario, including Early Buyout. It compensates services and capacity committed from opening for the full tenor. No cooling-off period, no right of withdrawal.
Total Loss Is Possible
In adverse markets, where the asset value at maturity is insufficient to cover the obligation, the entire fee may be forfeited without surplus. HyperHedge ensures no liability beyond it, but the fee itself is at risk.
Not a Yield Product
LTU is not a savings product, not a yield product, and not a guaranteed return instrument. Digital asset prices are volatile, and past performance does not predict future performance.
No Staking
Staking is structurally excluded from LTU, the asset must remain instantly liquidatable to support Early Buyout, Maturity Settlement, and Re-Lease at any moment. This exclusion is uniform, with no opt-in.
For complete risk disclosure, refer to the Risk Disclosure Statement and its Contract Classification Addendum.
WE WOULD RATHER LOSE A SIGNUP THAN BURY A SENTENCE.
The most expensive fee
is the one you discover
after you sign.
LTU has none of those.
LTU priced upfront, capped by design
See your fee, its components, your LCR, and your locked obligation before you confirm, on every contract, every time.