Overcollateralized borrowers deposit funds into Abracadabra and receive MIM stablecoin.

Abracadabra is a non-custodial stablecoin protocol built on Ethereum and other adjacent blockchains. Abracadabra was founded by Daniele Sestagalli and launched in 2021.

SPELL tokenholders own and govern the protocol. Currently, the interest and borrowing fees paid by borrowers (revenue) are shared between tokenholders and the project treasury.

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Abracadabra.money

# Abracadabra.money Average revenue per user (ARPU) Methodology

## 1. Overview

Average Revenue Per User (ARPU) measures the average daily revenue generated per active user of the Abracadabra protocol. This metric divides the total daily revenue by the number of daily active users to understand the revenue efficiency and user value generation of the protocol. ARPU helps assess how much value each user contributes to the protocol on average and tracks revenue per user trends over time.

## 2. Data sources

- **Parsed Cauldron events**: `LogBorrow`, `LogRepay`, and `LogAccrue` events from Cauldron contracts across Ethereum, Arbitrum, Avalanche, BSC, and Fantom networks
- **LayerZero bridge events**: `SendToChain` events from LayerZero OFT contracts across multiple chains for Beam v1 bridge functionality
- **Native token flows**: Records of native token transfers to and from specific Abracadabra wrapper addresses for Beam v1 fee collection
- **Fee handler events**: `LogFeeCollected` events from Base LzOFTV2FeeHandler contracts for Beam v2 fees
- **Token transfer events**: Transfer events filtered for interactions with Beam v1 wrapper contracts to identify actual user addresses
- **End-of-day price feeds**: Token price data for USD conversion of fee amounts
- **Pool configuration data**: Static configuration defining borrow fee tiers for each Abracadabra lending pool

## 3. Step-by-step calculation

### Component A: Revenue calculation

- **Purpose**: Calculate total daily revenue from all fee sources across the Abracadabra ecosystem
- **Logic**: Revenue combines four distinct fee types. Borrowing fees are calculated by multiplying the `amount` from `LogBorrow` events by pool-specific `borrow_fee_tier` rates (ranging from 0% to 1%) defined in the pool configuration. Interest fees come directly from the `accruedAmount` field in `LogAccrue` events representing accumulated interest on outstanding loans. Beam v1 fees are captured from native token flows to wrapper addresses, filtered to only include transactions that match allowlisted beam transaction hashes from `SendToChain` events. Beam v2 fees come from the `amount` field in `LogFeeCollected` events on Base. All borrowing and interest fees use 'ethereum' as the chain identifier for consistent price conversion regardless of their actual blockchain origin
- **Key fields**: `amount` (borrow amounts and accrued interest), `borrow_fee_tier` (pool-specific fee rates), `accruedAmount` (interest accumulation), `value` (native token flow amounts for Beam v1)

### Component B: User calculation

- **Purpose**: Count unique daily active users across all Abracadabra activities
- **Logic**: Users are identified from multiple activity types across supported chains. Primary users include borrowers (from `from` address in `LogBorrow` events) and repayers (from `from` address in `LogRepay` events) on Ethereum, Arbitrum, Avalanche, BSC, and Fantom. Bridge users are identified from `SendToChain` events across multiple chains. For Beam v1 bridge activities, the actual user address is extracted by joining `SendToChain` events with token transfer data when the recipient (`_from` field) matches wrapper contract addresses. User addresses are deduplicated using HyperLogLog functions to avoid counting the same user multiple times across different activities or chains
- **Key fields**: `from` (user addresses from borrow/repay events), `_from` (bridge initiator addresses), `from_address` (actual user addresses from token transfers)

### Component C: Currency conversion and aggregation

- **Purpose**: Convert all fees to USD and aggregate by day for consistent measurement
- **Logic**: Fee amounts are converted to USD using end-of-day price feeds matched by token address and date. The conversion process includes decimal correction to account for different token decimal places. All fee amounts are aggregated by day using `timestamp_trunc` to daily boundaries. User counts are aggregated daily using HyperLogLog merge operations to combine user counts across different dimensions while maintaining accurate deduplication
- **Key fields**: `token_address` (for price feed matching), `block_timestamp` (for daily aggregation), `fees` (USD-converted fee amounts)

### Final aggregation

- **Combining components**: Daily revenue totals are calculated by summing all USD-converted fees for each day. Daily user counts are calculated by merging HyperLogLog sketches across all user activities for each day, ensuring each unique user address is counted only once regardless of how many different activities they performed
- **Currency conversion**: All fee amounts are converted to USD using end-of-day price feeds matched by token address and transaction date, with appropriate decimal correction applied
- **Time aggregation**: Both revenue and user data are aggregated to daily boundaries using timestamp truncation to day level
- **Final calculation**: ARPU is calculated by dividing the daily revenue (in USD) by the daily active user count for each day. Days with zero users receive zero ARPU values, and gaps in the time series are filled with zeros to maintain continuity

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

Abracadabra.moneySPELL

Average revenue per user (ARPU)

Average revenue per user (ARPU)

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