# Mint Fee

The Agilely Protocol's Mint Fee is a critical charge applied when users borrow our native stablecoin, USDA. This fee is essential for maintaining USDA's value stability and managing borrowing costs.

The Mint Fee calculation centers on a dynamic variable called the [baseRate](/how-agilely-works/protocol-fee/base-rate.md), which adjusts based on the protocol's conditions. The fee rate is bounded between 0.5% and 5%, ensuring fairness in borrower charges and adhering to the protocol's principles. This mechanism accurately reflects borrowing activity, promoting a sustainable borrowing environment.

Agilely's approach involves aligning the Mint Fee with the baseRate. This strategy encourages users to retain their USDA holdings instead of immediate redemption, fostering a stabilized price and discouraging abrupt fluctuations.


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