# BMX Classic Notional trading volume Methodology

## 1. Overview

Notional trading volume measures the total value of all trading activity executed on BMX Classic. This includes perpetual position adjustments, liquidations, spot swaps, and the minting or burning of the platform's liquidity asset (BLT). As a primary indicator of protocol throughput, this metric is closely correlated with the project's ability to generate trading fees and protocol revenue.

## 2. Data sources

- **Blockchain events**: `SellUSDG`, `BuyUSDG`, `LiquidatePosition`, `IncreasePosition`, `DecreasePosition`, and `Swap` events from `Vault` contracts on Base
- **External data**: End-of-day price feeds and asset metadata

## 3. Step-by-step calculation

### Component A: Perpetual trading and liquidations

- **Purpose**: Captures the value of leveraged position changes and forced closures.
- **Logic**: Perpetual trading volume is derived from `IncreasePosition` and `DecreasePosition` events from `Vault` contracts by extracting the absolute change in position size. Liquidation volume is captured from `LiquidatePosition` events from `Vault` contracts. All values are normalized by decimal precision (30 decimals) to reflect the USD-denominated position size.
- **Key fields**: `sizeDelta` (position change), `size` (liquidation size)

### Component B: Liquidity asset minting and burning

- **Purpose**: Captures the volume generated by users entering or exiting the BLT liquidity pool.
- **Logic**: Volume is parsed from `BuyUSDG` (mints) and `SellUSDG` (burns) events from `Vault` contracts. The value is determined by the amount of the platform's internal accounting asset (USDG) involved in the transaction. Amounts are normalized by decimal precision.
- **Key fields**: `usdgAmount` (value of BLT minted or burned)

### Component C: Spot trading volume

- **Purpose**: Captures the value of non-leveraged asset swaps.
- **Logic**: `Swap` events are parsed from `Vault` contracts to identify the input and output assets and their respective quantities. To mitigate the impact of potential price manipulation or data anomalies, the notional value for each swap is calculated as the lesser USD value between the input asset and the output asset.
- **Key fields**: `amountIn` (input quantity), `amountOut` (output quantity), `tokenIn` (input asset address), `tokenOut` (output asset address)

### Component D: USD conversion and aggregation

- **Purpose**: Normalizes all trading activities into a unified USD-denominated metric.
- **Logic**: All identified volumes are aggregated by day and chain. For spot trades, quantities are multiplied by end-of-day price feeds for the respective assets. Perpetual and BLT-related volumes, which are natively tracked in USD-denominated units within the smart contracts, are normalized by their specific decimal precision. Daily totals are calculated using UTC day boundaries.

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

Total USD value of derivative contracts executed on the protocol.

Notional trading volume

Derivative exchanges

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).

BMX Classic

Archived

Notional trading volume

Notional trading volume

Chain breakdown