# Acala EVM Revenue Methodology

## 1. Overview

Revenue for Acala EVM measures the total transaction fees paid by users and retained by the protocol for executions within the Ethereum Virtual Machine (EVM) compatibility layer. This metric reflects the protocol's earnings from providing an EVM-compatible environment for smart contracts and decentralized applications on the Acala Network. Fees are collected in the network's native asset and converted to USD.

## 2. Data sources

- **Blockchain events**: `Executed` events from the `evm` pallet, and `Withdraw` and `Deposit` events from the `balances` pallet, covering Acala.
- **External data**: End-of-day price feeds for the Acala native asset.

## 3. Step-by-step calculation

### Component A: EVM transaction fee extraction

- **Purpose**: To isolate and calculate the specific fees associated with EVM-based transactions.
- **Logic**: Transaction fees are identified by parsing `Withdraw` and `Deposit` events from the `balances` pallet where the pallet origin is specified as `evm`. The net fee is calculated by summing the withdrawn amounts and subtracting any deposited amounts (refunds) associated with a single execution.
- **Key fields**: `transaction_fee`, `extrinsic_id`, `event_method`.

### Component B: Signer verification and mapping

- **Purpose**: To ensure fees are accurately attributed to the correct transactions and accounts.
- **Logic**: Fees are filtered by joining `evm` pallet `Executed` events with balance change events using the unique extrinsic identifier. The Substrate-level parachain accounts are mapped to their corresponding EVM accounts using `ClaimAccount` events from the `evmAccounts` pallet to verify that the signer of the balance change matches the signer of the EVM execution.
- **Key fields**: `evm_account`, `parachain_account`, `signer_address`.

### Component C: Normalization and USD conversion

- **Purpose**: To standardize fee values for reporting and financial analysis.
- **Logic**: Fee amounts are normalized by decimal precision. The resulting native asset values are multiplied by end-of-day price feeds for the Acala asset. Data is aggregated at a daily granularity with UTC day boundaries.
- **Key fields**: `block_timestamp`, `price_usd`.

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

fees * take_rate (illustrative — revenue is observed directly per project, not derived from take_rate)

Fee revenue retained after supply-side payouts. Before cost of revenue (e.g. L2 DA fees) and before operating expenses.

Revenue

Blockchains (L2)

Collators aggregate parachain transactions block candidates and producing state transition proofs for validators based on those blocks.

Acala is a specialized stablecoin and liquidity blockchain powered by Polkadot Relay chain.

ACA holders own and govern the protocol. Acala’s investors include Pantera Capital, Coinbase Ventures, and Polychain Capital.

Acala EVM

Archived

Revenue

Revenue

Chain breakdown