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Add images to Dynamic Fees concept section #837

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14 changes: 13 additions & 1 deletion docs/contracts/v4/concepts/07-dynamic-fees.mdx
Original file line number Diff line number Diff line change
Expand Up @@ -48,7 +48,19 @@ In Uniswap v4, the dynamic fee capability of a pool is determined at pool creati
1. **Periodic Updates via PoolManager:** Fees can be updated by calling the `updateDynamicLPFee` function on the PoolManager contract at specified intervals.
2. **Per-Swap Updates via beforeSwap Hook:** Fees can be dynamically set for each swap by returning the fee from the `beforeSwap` hook. This allows hooks to override the LP fee for each swap in dynamic fee pools.

These methods offer flexibility in implementing various fee strategies. For more detailed information on implementing these methods, please refer to our [Dynamic Fees Implementation Guide](https://uniswap-docs-staging.vercel.app/documentation/featured-guides/hooks/v4/guides-for-solidity-contracts/dynamic-fee-pools).
These methods offer flexibility in implementing various fee strategies.

Below is an example of how to set dynamic fees using the `beforeSwap` hook:

![](./images/Uniswap_V4_Dynamic_Fees_Step_1.jpg)

Before a swap occurs, the `beforeSwap` hook is invoked to determine the fee based on the defined logic. This hook calls the `updateDynamicLPFee` function on the PoolManager contract to update the fee.

![](./images/Uniswap_V4_Dynamic_Fees_Step_2.jpg)

The `updateDynamicLPFee` function in the PoolManager contract updates the pool's fee accordingly.

For more detailed information on implementing these methods, please refer to our [Dynamic Fees Implementation Guide](https://uniswap-docs-staging.vercel.app/documentation/featured-guides/hooks/v4/guides-for-solidity-contracts/dynamic-fee-pools).

# Considerations and Best Practices

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