# Directional & Dynamic Volatility Fees V3 introduces a fee structure that adapts to the underlying market volatility. The protocol dynamically adjusts the fees for each liquidity pool based on prevailing volatility, enhancing fee generation and trade volume. One of the notable aspects of this feature is the ability to set distinct volatility-based fee ranges for both buy and sell directions. As a result, each liquidity pool can offer highly tailored fee structures that cater to specific market conditions. This customization leads to increased fees and trading volume as fees more accurately reflect the market's risk profile. During periods of low trading volume, the fees automatically adjust downwards. Conversely, when the market experiences heightened volatility, the fees proportionally increase. --- # Agent Instructions: Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter: ``` GET https://docs.sanko.xyz/sanko-mainnet/native-dexs/camelot-exchange/camelot-v3/directional-and-dynamic-volatility-fees.md?ask= ``` The question should be specific, self-contained, and written in natural language. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.