Hello,

my name is Feelancer and my mission is a better automatic fee control for routing nodes.

This year I built a PID controller that adjusts the outbound and inbound fee rates according to the channel depletion. It uses the current status and moving averages. However, the tool is still pretty nerdy and difficult to configure for the normie user.

The next milestone is the automation of the parameterization based on profit and loss figures of the channels. The basic idea is to understand forwards and rebalancing as a liquidity trade, i.e. liquidity is bought at certain funding costs and then sold with margin plus funding costs. Ideally, the funding costs should be identical between buying and selling, but as with share trading, a price effect is realized.
The aim is to optimize the margin together with the adjustment speed of the PID controller in such a way that a routing node has a stable return with limited risk. The approach with negative forward fees would be particularly interesting.

However, there is still a long way to go until then, as this is only a hobby project so far.

https://github.com/feelancer21/feelancer