# Peg Stability Module (PSM)

<figure><img src="https://438227621-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2F6NLoEeKDsFx1ENKBnxGx%2Fuploads%2FV4HhWqsfJk1d8qxapWmO%2Fimage.png?alt=media&#x26;token=b12778d9-d9c8-4717-854b-3f1e8b4d0647" alt=""><figcaption></figcaption></figure>

Peg Stability Module represents a Fee Montetation for SNAKE to have real backing compared to similar models.\
\
A fee has been introduced (PAID IN $S) on [Forests Farms](https://snake-finance.gitbook.io/snake-finance-docs/protocol/forests-farms). This allows capital flow into the SNAKE treasury which in turn enables us to support $SNAKE peg on a much more stable level backed by $S funneled back into the protocol

{% hint style="warning" %}
Currently, the PSM fees are **30% paid in $S** in the Forests
{% endhint %}