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

Camelot is a non-custodial exchange protocol built on Arbitrum. Camelot was founded by the pseudonymous Myrddin and launched in 2022.

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

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Exchanges (DEX)

Camelot

# Camelot Expenses Methodology

## 1. Overview

The Camelot expenses metric measures the daily USD value of token incentives distributed to liquidity providers on the Camelot decentralized exchange. This represents the protocol's operational costs in the form of GRAIL and xGRAIL token rewards paid to incentivize liquidity provision across both Camelot v2 and v3 pools on Arbitrum.

The metric captures expenses by tracking when liquidity providers claim or harvest their earned token rewards, treating these distributions as the protocol's direct costs for maintaining liquidity.

## 2. Data sources

- **Camelot v2 events**: Parsed `HarvestPosition` events from Camelot v2 NFTPool contracts on Arbitrum, capturing GRAIL token rewards harvested by liquidity providers
- **Angle distributor events**: Parsed `Claimed` events from Angle v1 Distributor contracts on Arbitrum, specifically filtering for xGRAIL token distributions 
- **End-of-day price feeds**: Token price data for GRAIL and xGRAIL tokens to enable USD conversion
- **Token metadata**: Decimal precision information for GRAIL (`0x3d9907f9a368ad0a51be60f7da3b97cf940982d8`) and xGRAIL (`0x3caae25ee616f2c8e13c74da0813402eae3f496b`) tokens

## 3. Step-by-step calculation

### Component A: Camelot v2 GRAIL incentives
- **Purpose**: Captures GRAIL token rewards harvested from Camelot v2 NFT liquidity pools
- **Logic**: Extracts `HarvestPosition` events from Camelot v2 NFTPool contracts on Arbitrum. Each event represents a liquidity provider harvesting their accumulated GRAIL rewards from providing liquidity. The `pending` field contains the amount of GRAIL tokens being harvested. Events are standardized with business classification metadata including chain (arbitrum), business line (Exchange AMM), market sector (exchanges), business segment (dex), and version (v2).
- **Key fields**: `pending` amount field converted to `amount`, `address` as the liquidity provider account, GRAIL token address as `token_address`

### Component B: Angle v1 xGRAIL incentives  
- **Purpose**: Captures xGRAIL token distributions through the Angle protocol distributor
- **Logic**: Extracts `Claimed` events from Angle v1 Distributor contracts on Arbitrum, filtering specifically for events where the `token` field matches the xGRAIL contract address. These events represent xGRAIL token distributions to users, which are part of Camelot's incentive program delivered through the Angle infrastructure. Events are standardized with the same business metadata structure but marked as version v3.
- **Key fields**: `amount` field for xGRAIL tokens claimed, `address` as the claiming account, filtered by `token` field matching xGRAIL address

### Component C: Daily aggregation and USD conversion
- **Purpose**: Combines both incentive sources and converts to daily USD values
- **Logic**: Unions the GRAIL and xGRAIL incentive data, then groups by day using timestamp truncation to day boundaries. Token amounts are corrected for decimal precision using token metadata (both GRAIL and xGRAIL use 18 decimals). The corrected token amounts are then converted to USD using end-of-day price feeds for the respective tokens.
- **Key fields**: Daily `timestamp`, `chain_id`, business classification fields, `token_address`, and USD-converted `token_incentives` amounts

### Final aggregation
- **Combining components**: The two incentive sources are combined through a union operation, maintaining separate records for each token type and distribution mechanism
- **Currency conversion**: Raw token amounts are first corrected for 18-decimal precision, then multiplied by end-of-day USD prices for GRAIL and xGRAIL tokens
- **Time aggregation**: All events within each day are aggregated, with timestamp boundaries set to day level using timestamp truncation
- **Final calculation**: The metric applies schema finalization logic to ensure consistent field structure and fills any missing days with zero values. The final `token_incentives` value is renamed to `expenses` to represent the protocol's operational costs for liquidity incentives

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

Total project operating and incentive expenses.

CamelotGRAIL

Expenses

Expenses

Competitive landscape

Chain breakdown