> For the complete documentation index, see [llms.txt](https://guide.derpbirds.io/derp-birds/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://guide.derpbirds.io/derp-birds/derp-token/derp-exchange.md).

# DERP Exchange

## Overview

The DERP Exchange allows users to convert their earned DD to the $DERP. Users can let their DD stack and claim whenever they like. There is no penalty for not claiming.

* Users can exchange DERP ↔ DD (Derp Dollars)
* Fixed rate: 1 DERP = 100 DD
* A flat 5 ADA fee is applied to each exchange, regardless of direction

<figure><img src="/files/0NCPS5YPI3NArYEqy8Oc" alt=""><figcaption><p>The Derp Exchange</p></figcaption></figure>

{% hint style="info" %}
Claiming $DERP costs 5 ADA. The small fee allows us to further fund the project.
{% endhint %}

***

### Derp Exchange and Interface Updates

{% hint style="warning" %}
Disclaimer: Features outlined in this section are not yet live. They are currently in development and will be released in future updates. Please refer to official announcements for specific rollout timelines and launch confirmations.
{% endhint %}

#### Updated ADA Fee Structure:

* DD to DERP: 5 ADA fee applies
* DERP to DD: No fee (free conversion)

#### Dynamic Exchange Rate Mechanism:

* Each epoch begins with the rate of 1 DERP = 100 DD
* Once 2,500,000 DD has been exchanged to DERP within the epoch, the rate changes to 1:200
* At the start of a new epoch, the rate resets to 1:100

#### Supply Control via Mint & Burn:

* DERP tokens are minted when users convert DD to DERP
* DERP tokens are burned when converted back to DD

This mint-and-burn model links token issuance directly to user engagement and helps maintain balance in the ecosystem.

***

### Visual and UX Enhancements (Planned)

#### The exchange interface will receive several user-focused updates:

* A progress meter showing how close the current epoch is to the DD-to-DERP threshold
* Display of each user’s DD circulating supply
* Tracking of total DD distributed via fortification during the current epoch
* Real-time visualisation of DD spending across the Derp ecosystem