# Arc Revenue Methodology

## 1. Overview

Revenue is defined as the portion of transaction fees that is retained by Arc after earnings are distributed to supply-side participants. This metric is utilized to evaluate the direct economic value that is captured by the protocol from network activity. For Arc, revenue is calculated as zero because all transaction fees are distributed in full to block proposers. Consequently, no portion of the collected fees is retained by the protocol.

## 2. Data sources

- **None**: This metric is set to a constant value of zero and blockchain events are not consumed.

## 3. Step-by-step calculation

### Component A: Revenue netting

- **Purpose**: To determine the net revenue retained by the protocol.
- **Logic**: Total fees and supply-side fees are aggregated on a daily basis. For Arc, supply-side fees are defined as 100% of the transaction fees, which are credited in full to block proposers. Net revenue is calculated by subtracting supply-side fees from total fees, which mathematically results in a constant value of zero.

*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.

Revenue

Blockchains (L1)

Users deposit funds into Circle account and receive USDC or EUROC at a 1:1 rate.

Circle is a financial technology company that is the principal architect of USDC and EUROC - full-reserve fiat stablecoins that bring US dollar and euro liquidity on-chain.

Circle is a private company registered in the US. Circle's investors include Goldman Sachs, Baidu, and IDG Capital etc.

Arc

Revenue

Revenue

Chain breakdown