Chainflip operates a decentralized network of 150 validators that collectively control multi-chain vaults using threshold signature schemes (TSS). The protocol uses a Just-In-Time (JIT) AMM where liquidity providers compete to fill swap orders at the moment of execution, enabling capital-efficient cross-chain swaps. A portion of each swap fee is used to buy and burn FLIP tokens.

Chainflip is a decentralized cross-chain swap protocol that enables native asset exchanges across blockchains including Bitcoin, Ethereum, and Solana without wrapped tokens or traditional bridges. It was launched in 2023 by Chainflip Labs and uses a JIT AMM model combined with MPC-based vault technology to provide competitive pricing on cross-chain trades.

Chainflip is governed by its validator set and FLIP tokenholders. Validators stake FLIP to participate in the network and earn fees from swaps. The protocol is developed and maintained by Chainflip Labs.

website

twitter

docs

Blockchains (L1)

Chainflip

# Chainflip Average transaction fee Methodology

## 1. Overview

Average transaction fee is calculated as the average fee paid by users per transaction on the Chainflip Chain. The typical cost of executing transactions on the network is reflected by this metric. The metric is calculated by dividing the total transaction fees collected on the Chainflip Chain by the total number of transactions executed over a given period. Insights into the economic throughput and cost efficiency of the Chainflip Chain are provided by this analysis.

## 2. Data sources

- **Blockchain events**: `TransactionFeePaid` events from `transactionPayment` pallets and transaction extrinsics on the Chainflip Chain
- **External data**: End-of-day price feeds for the native asset

## 3. Step-by-step calculation

### Component A: Chainflip Chain fee extraction

- **Purpose**: Capture the total transaction fees paid on the Chainflip Chain
- **Logic**: `TransactionFeePaid` events are parsed from `transactionPayment` pallets on the Chainflip Chain. The transaction fee is calculated by summing the base fee amount and the tip. These raw amounts are normalized by decimal precision and converted to USD using end-of-day price feeds.
- **Key fields**: `amount`, `tip`

### Component B: Transaction count tracking

- **Purpose**: Count the total number of transactions executed on the Chainflip Chain
- **Logic**: Transaction extrinsics are extracted from the Chainflip Chain. The total transaction count is calculated by aggregating the number of distinct extrinsic identifiers per day.
- **Key fields**: `extrinsic_id`

### Component C: Average transaction fee calculation

- **Purpose**: Determine the average cost per transaction
- **Logic**: The total daily transaction fees in USD are divided by the daily transaction count. A safe division is applied to handle days with zero transactions, and the final values are aggregated at a daily granularity with UTC day boundaries.
- **Key fields**: `fees`, `transaction_count`

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

ChainflipFLIP

Average transaction fee

Average transaction fee

Competitive landscape

Chain breakdown