Recently, I noticed a TAO promotion from a leading exchange and couldn't help but analyze it for everyone—especially since this fee mechanism really deserves some scrutiny.

Let's start with the core question: $TAO premium plan versus no premium plan, which one is more cost-effective? Particularly for new players.

**Here's the data comparison:**

The event is scheduled to start at 7 PM on 1.12. Assume the opening position is around 0.88. With a fee of 2% deducted every 4 hours, six times a day, over three days, what’s the outcome?

Premium plan: 70 coins × 0.88 = starting at 61U. The fees are -2% × 6 times × 3 days = -36 basis points, which is 61U × -0.36% ≈ -22U. Final amount received: 39U.

No-premium plan (assuming rewards at a price of 0.38): 70 × 0.38 = 26U directly received.

Difference? 13U. It looks like the premium plan is more profitable, but there are pitfalls.

**Who should play, and who shouldn’t:**

Workshops and experienced traders might consider the premium plan if they can time it precisely and have strong risk tolerance. But retail investors? My advice is to avoid it. For beginners, forget it—opening short positions at 0.88 carries significant risk. If the price surges to 0.95 or higher, liquidation becomes easy, and it ties up a lot of capital, which isn’t cost-effective.

**Estimated expected returns for the event:**

- At 0.88: 61U
- At 0.6: 42U
- At 0.52: 36U
- At 0.45: 32U (a reasonable scenario)
- At 0.38: 26U (a bad scenario)
- At 0.3: 21U (an extreme scenario)

**Critical flaws in the fee logic:**

The coin price fluctuates by 2-4%, and the fee mechanism design makes participants prone to losses. In the end, it’s very hard to outperform the market. The fee structure is fundamentally unfeasible—that’s my straightforward judgment.

What do you all think? Let’s discuss in the comments.