Market makers offer trades through order book & make money on bid-ask spreads paid by takers.

0x is a non-custodial exchange protocol built on Ethereum. 0x was founded by Amir Bandeali & Will Warren and launched in 2016.

ZRX tokenholders own and govern the protocol. They currently do not take any of the total trading fees paid by traders (revenue). 0x’s investors include Coinbase Ventures, Jump Capital, Pantera Capital, etc.

governance

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etherscan

website

Exchanges (DEX)

# 0x Supply-side fees Methodology

## 1. Overview

Supply-side fees represent the fees charged to liquidity providers or market makers for providing trading services on a protocol. For 0x protocol, this metric is calculated by setting all supply-side fees to zero, reflecting that 0x does not charge fees to liquidity providers or market makers. This metric answers the business question: "How much does 0x protocol charge its liquidity providers?" and the answer is zero, as 0x operates as a free protocol infrastructure.

## 2. Data sources

The calculation uses the following underlying raw data sources:
- **0x protocol transaction data**: Scraped transaction records from 0x protocol systems containing trade details, token information, and pre-calculated USD volumes
- **Token metadata**: Token symbol mappings for maker and taker tokens in trades (`takerTokenSymbol`, `makerTokenSymbol`)
- **Chain information**: Blockchain network identifiers for multi-chain trades
- **USD volume calculations**: Pre-computed trading volumes in USD from external data sources
- **Transaction metadata**: Block timestamps, transaction hashes, and log indices for trade identification

## 3. Step-by-step calculation

### Component A: Trade data extraction
- **Purpose**: Extract and standardize 0x protocol trade events from raw transaction data
- **Logic**: Raw 0x protocol transaction data is processed to extract trade events. Each record includes the trade timestamp, transaction hash, log index, and chain information. The business classification applies "Exchange Order Book" as the business line, "exchanges" as the market sector, and "dex" as the business segment. Account names are constructed by concatenating the taker and maker token symbols with a hyphen separator. All records are marked with version "v1" and no specific product ID or account address is assigned.
- **Key fields**: `block_timestamp` for trade timing, `transaction_hash` and `log_index` for unique identification, `chain` for network classification, `takerTokenSymbol` and `makerTokenSymbol` for token pair identification, `volumeUSD` for trade value

### Component B: Trading volume aggregation
- **Purpose**: Aggregate daily trading volumes across all 0x protocol trades
- **Logic**: Trade data is grouped by day using timestamp truncation to daily boundaries. Volumes are summed across all trades within each day, grouped by chain, market sector, business segment, and product ID. The USD trading volumes from individual trades are aggregated to produce daily totals. Missing days are filled with zeros using the finalization process.
- **Key fields**: `timestamp` truncated to day boundaries, `trading_volume` as the sum of USD volumes, chain and business classification fields for grouping

### Component C: Fee calculation
- **Purpose**: Calculate protocol fees charged by 0x (set to zero)
- **Logic**: Using the daily trading volume data as the base structure, all fees are explicitly set to zero. This reflects 0x protocol's business model where no protocol fees are charged on trades. The calculation maintains the same time series structure as trading volumes but with all fee values as zero. Chain ID is set to "unknown" in this step.
- **Key fields**: `timestamp` and `timestamp_grain` from trading volumes, `fees` hardcoded to 0, `product_id` maintained from previous step

### Component D: Supply-side fee calculation
- **Purpose**: Calculate fees charged to liquidity providers and market makers (set to zero)
- **Logic**: Using the fee calculation data as input, supply-side fees are explicitly set to zero for all time periods and chains. This reflects that 0x protocol does not charge fees to liquidity providers or market makers who provide trading services. The calculation maintains the complete time series structure from the fees data.
- **Key fields**: `fees_supply_side` hardcoded to 0, all other dimensional fields (`timestamp`, `timestamp_grain`, `chain_id`, `product_id`) passed through unchanged

### Final aggregation
- **Combining components**: No aggregation occurs as supply-side fees are uniformly zero across all dimensions
- **Currency conversion**: No currency conversion needed as fees are zero
- **Time aggregation**: Daily time boundaries are maintained from the trading volume aggregation step, with data filtered to exclude future dates beyond 2025-03-21
- **Final calculation**: The final metric value is always zero for all time periods, chains, and products, representing that 0x protocol charges no supply-side fees to liquidity providers or market makers

*This methodology was automatically generated by Token Terminal's methodology analyzer.*

Portion of fees distributed to service providers or supply-side participants.

0xZRX

Archived

Supply-side fees

Supply-side fees

Competitive landscape

Chain breakdown