# Based MediaX Supply-side fees Methodology

## 1. Overview

Supply-side fees for Based MediaX is defined as the portion of total fees generated by the protocol that is distributed to service providers. Royalties paid out to NFT creators during swap activities on the platform are specifically captured by this metric. The economic value flowing to the supply-side participants of the ecosystem is represented by this metric, rather than the portion retained by the protocol treasury. Insight into the incentives provided to content creators within Based MediaX is provided by isolating these payments.

## 2. Data sources

- **Blockchain events**: `SwapNFTOutPair` events from `LSSVMPairERC721ERC20` contracts, `FeeTransferred` events from `SudoVRFRouter` contracts, and `createPair` function calls from `SudoFactoryWrapper` contracts on Base
- **External data**: End-of-day price feeds and asset metadata

## 3. Step-by-step calculation

### Component A: Based MediaX pair and asset mapping

- **Purpose**: Map pair addresses to their underlying assets to ensure correct pricing and decimal normalization
- **Logic**: `createPair` function calls from `SudoFactoryWrapper` contracts are parsed to identify pair addresses and their associated token addresses. This mapping is utilized to link subsequent fee events to the correct assets for pricing and decimal adjustment.
- **Key fields**: `account_address` (pair identification), `token_address` (asset identification)

### Component B: Based MediaX royalty fee extraction

- **Purpose**: Capture the value distributed to NFT creators as royalties
- **Logic**: `SwapNFTOutPair` events from `LSSVMPairERC721ERC20` contracts are parsed to identify royalty payments. The `royalty amount` field is extracted for each transaction to determine the value distributed to creators.
- **Key fields**: `royalty_amount` (royalty quantity), `account_address` (pair identification)

### Component C: Based MediaX protocol revenue extraction

- **Purpose**: Identify the portion of fees retained by the protocol treasury
- **Logic**: `FeeTransferred` events from `SudoVRFRouter` contracts are parsed to identify the portion of fees directed to the protocol treasury. The `amount` field is extracted and associated with the corresponding pair address.
- **Key fields**: `amount` (protocol fee quantity), `account_address` (pair identification)

### Component D: USD conversion and normalization

- **Purpose**: Normalize all fee components to a common currency for aggregation
- **Logic**: All extracted amounts are normalized by decimal precision based on asset metadata. Values are converted to USD using end-of-day price feeds corresponding to the transaction timestamp. Daily granularity is maintained with UTC day boundaries.

### Component E: Supply-side fee derivation

- **Purpose**: Calculate the final supply-side fee metric by isolating non-protocol fees
- **Logic**: Total fees are calculated as the sum of protocol revenue and royalties. Supply-side fees are then derived by subtracting protocol revenue from the total fees, resulting in the net value distributed to creators and other service providers. Reference is made to the project-level methodology for cross-product aggregation details.

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

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

Supply-side fees

NFT marketplaces

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

BMX is a non-custodial exchange for spot and perpetual contracts built on Base. BMX has three product lines: Classic, Freestyle, and Based MediaX

BMX tokenholders own and govern the protocol. They currently take a cut of the total trading fees paid by traders (revenue).

Based MediaX

Archived

Supply-side fees

Supply-side fees

Chain breakdown