Assessing Overage Fees.
If you exceed the included monthly LN API Call Volume for your Services tier in any given month, you will be invoiced an Overage Fee in arrears. Overage Fees are calculated based upon the excess LN API Call Volume and the relevant fees for your Services tier.
Calculating LN API Call Volume and Overage Fees.
LN API Calls include any (i) message initiated by a Customer Account that results in a completed Lightning Network bitcoin transaction (send or receive) for that Customer Account or (ii) acceptance of a message by a Customer Account that results in a successful routing transaction for the Customer. The "LN API Call Volume" for any month is the sum of the amount of BTC arising from each LN API Call converted to USD using the Applicable Spot Price. "Applicable Spot Price" means the BTC/USD spot price based upon the Designated Price Oracle at the beginning of the hour when the LN API Call was initiated. "Designated Price Oracle" means a third-party pricing service that provides market-based BTC/USD exchange rates. Lightspark intends to use the Coinbase or Kraken price oracle services; but in its sole discretion, Lightspark may choose a different Designated Price Oracle.
If the LN API Call Volume for the month is greater than the monthly LN API Call Volume for the selected services tier, then Overage Fees will be calculated by (1) subtracting the LN API Call Volume for the month from the included Monthly LN API Call Volume based on your Services tier and (2) multiplying the resulting difference by the applicable Overage Fee for your Services tier.
Example: On May 1st, Customer selects and pays the Tier 3 Platform Fee of $22,500 which allows for $15,000,000 Lightning Network bitcoin transactions arising from LN API Calls (the included monthly LN API Call Volume). During the month of May, Customer completes $15,100,000 in Lightning Network bitcoin transactions arising from LN API Calls, which is the month’s LN API Call Volume. On June 1st, Customer receives an invoice for $150 in Overage Fees.
(LN API Call Volume - included monthly LN API Call Volume for the tier) * applicable Overage Fee
(($15,100,000 - $15,000,000) = $100,000)) * 0.15% = $150 monthly Overage Fee