Liquidity providers deposit funds into Biswap and receive trading fees from traders (supply-side fees).

Biswap is a non-custodial exchange protocol built on BNB chain. Biswap was founded by an anonymous team and launched in 2021.

BSW tokenholders own and govern the protocol. They currently take a cut of the total trading fees paid by traders (revenue). Biswap’s investors include Binance Labs.

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Biswap

# Biswap Revenue Methodology

## 1. Overview

Biswap protocol revenue represents the portion of trading and flash loan fees that Biswap retains as protocol revenue. The metric calculates 25% of all fees generated from trading activity and flash loans across Biswap's V1 and V3 AMM pools on BSC. This answers the business question: "How much revenue does Biswap generate from its decentralized exchange operations?"

The calculation approach involves: (1) extracting trading and flash loan volumes from blockchain swap and flash events, (2) applying pool-specific fee tiers, (3) calculating total fees, and (4) taking 25% as protocol revenue.

## 2. Data sources

- **BSC blockchain swap events**: Parsed `Swap` events from Biswap V1 Pair contracts and V3 Pool contracts containing token amounts and swap details
- **BSC blockchain flash loan events**: Parsed `Flash` events from Biswap V3 Pool contracts containing flash loan amounts
- **BSC blockchain function calls**: Parsed function calls for V3 swap direction determination (`swapX2Y` and `swapY2X` functions)
- **BSC blockchain factory events**: Parsed `PairCreated` events from V1 Factory and `NewPool` events from V3 Factory containing pool creation and fee tier information
- **BSC transaction records**: Transaction data providing user addresses and transaction metadata
- **End-of-day token price feeds**: Daily USD price data for token valuation and conversion
- **Token metadata**: Token information including decimal places and symbols for proper amount calculation

## 3. Step-by-step calculation

### Component A: Trading volume calculation
- **Purpose**: Calculate USD trading volume from swap events across V1 and V2 pools
- **Logic**: Extract swap events from BSC where V1 events use `amount0In`, `amount0Out`, `amount1In`, `amount1Out` fields to calculate net token changes (in minus out), while V3 events use `amountX` and `amountY` fields with directional multipliers determined from swap function calls (`swapX2Y` uses directionX=1, directionY=-1; `swapY2X` uses directionX=-1, directionY=1). Join with trading pair metadata to get token addresses, decimals, and fee tiers. Correct token amounts by dividing by 10^decimals. Convert to USD using end-of-day price feeds joined by timestamp, token address, and chain. Use the minimum USD value between token0 and token1 amounts to prevent price manipulation attacks. Aggregate daily by timestamp, chain, pool address, and user address.
- **Key fields**: `token0_amount`, `token1_amount` (corrected amounts), `trading_volume` (minimum USD value), `fee_tier` (pool-specific fee rate)

### Component B: Flash loan volume calculation  
- **Purpose**: Calculate USD flash loan volume from flash loan events on V3 pools
- **Logic**: Extract flash loan events from BSC V3 Pool contracts using `Flash` events with `amountX` and `amountY` fields. Join with trading pair metadata to get token details and fee tiers. Correct token amounts by dividing by 10^decimals using token metadata. Convert to USD using end-of-day price feeds. Sum both token0 and token1 USD amounts (unlike trading volume, no minimum filter applied). Aggregate daily by timestamp, chain, and pool address.
- **Key fields**: `token0_amount`, `token1_amount` (flash loan amounts), `flash_loan_volume` (sum of both token USD values), `fee_tier` (pool fee rate)

### Component C: Trading pair metadata enrichment
- **Purpose**: Provide pool configuration data including fee tiers and token information
- **Logic**: Extract pool creation events where V1 uses `PairCreated` events with fixed fee tiers (0.2% default, 0.1% for specific stable pool addresses), and V3 uses `NewPool` events with dynamic fee tiers (divide raw fee value by 10^6). Join with token metadata to get decimal places and symbols for both token0 and token1. Create pool names by concatenating token symbols.
- **Key fields**: `fee_tier` (pool fee percentage), `token0_decimals`, `token1_decimals` (for amount correction), `account_address` (pool contract address)

### Component D: Fee calculation
- **Purpose**: Calculate total fees from trading and flash loan activity
- **Logic**: Multiply trading volume by respective pool fee tiers to get trading fees. Multiply flash loan volume by respective pool fee tiers to get flash loan fees. Combine both fee sources using union operation. Aggregate by timestamp, chain, and business classification fields.
- **Key fields**: `fees` (total fees in USD from both trading and flash loans)

### Final aggregation
- **Combining components**: Sum trading fees and flash loan fees to get total protocol fees
- **Currency conversion**: All volumes already converted to USD using end-of-day price feeds matched by timestamp, token address, and chain
- **Time aggregation**: Data aggregated to daily boundaries using timestamp truncation to day
- **Final calculation**: Apply 25% protocol fee rate to total fees (revenue = fees × 0.25) to determine Biswap's protocol revenue share

*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.

BiswapBSW

Revenue

Revenue

Competitive landscape