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

Curve is a non-custodial exchange protocol built originally on Ethereum. Curve was founded by Michael Egorov and launched in 2020.

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

governance

github

twitter

discord

etherscan

website

Exchanges (DEX)

Curve

# Curve Liquidity turnover Methodology

## 1. Overview

Liquidity turnover measures the efficiency of capital utilization in Curve protocol by calculating the ratio of daily trading volume to total value locked (TVL). This metric indicates how many times the protocol's liquidity is "turned over" through trading activity each day. A higher ratio suggests more efficient capital utilization, while a lower ratio indicates capital is less actively traded. The calculation follows the formula: liquidity turnover = daily trading volume / daily TVL.

## 2. Data sources

The calculation relies on several key data sources:
- **Curve contract events**: Parsed `TokenExchange`, `TokenExchangeV2`, and `TokenExchangeUnderlying` events from Ethereum Curve pools including TwoCryptoPool, TriCryptoPool, and StablePool contracts
- **Transaction data**: Ethereum transaction records to identify trade initiators and transaction context
- **Pool balance snapshots**: External state system data providing hourly balance snapshots for all Curve pools across supported chains
- **Token transfer events**: Ethereum token transfer logs for tracking balance changes in crvUSD collateral accounts
- **External state data**: LlamaLend total assets data from external monitoring systems
- **End-of-day price feeds**: Token price data for USD conversion of all monetary values
- **Token metadata**: Decimal precision and symbol information for proper amount calculations
- **Pool configuration data**: Token arrays and pool structure information from external state systems

## 3. Step-by-step calculation

### Component A: Trading volume calculation
- **Purpose**: Calculates daily USD trading volume across all Curve DEX pools
- **Logic**: Extract trade events from multiple Curve pool contract types on Ethereum, including `TokenExchange`, `TokenExchangeV2`, and `TokenExchangeUnderlying` events from TwoCryptoPool, TriCryptoPool, and StablePool contracts. Match each trade with corresponding pool configuration data to access token arrays and decimal information. For each trade, correct token amounts using decimal metadata and convert both traded tokens to USD values using end-of-day price feeds. Use the lesser of the two USD amounts to filter out potential price manipulation. Aggregate all trades to daily granularity, summing volumes across all pools and chains.
- **Key fields**: Trade amounts (`tokens_sold`, `tokens_bought`), token indices (`sold_id`, `bought_id`), pool addresses, transaction hashes, block timestamps

### Component B: Total value locked calculation  
- **Purpose**: Calculates daily USD value of all assets locked in Curve protocol
- **Logic**: Combine three distinct sources of locked value. First, process DEX pool balances from external hourly snapshots, filtering to daily timestamps and excluding LP tokens to prevent double counting. Second, calculate crvUSD collateral balances by tracking token balance changes in designated collateral accounts, using cumulative balance calculations and forward-filling missing data points. Third, incorporate LlamaLend total assets from external state monitoring. For all components, correct decimal precision using token metadata and convert to USD using end-of-day price feeds. Aggregate across all chains and products to get total protocol TVL.
- **Key fields**: Pool balances from snapshots, token balance changes (`balance`), collateral account addresses, LlamaLend asset amounts, token addresses, timestamps

### Final aggregation
- **Combining components**: Both trading volume and TVL are calculated at daily granularity and matched by timestamp for the same protocol-level aggregation
- **Currency conversion**: All amounts converted to USD using end-of-day token price feeds, ensuring consistent valuation timing across components  
- **Time aggregation**: Daily boundaries applied consistently, with trading volume using daily trade aggregation and TVL using end-of-day balance snapshots
- **Final calculation**: Divide daily trading volume by daily TVL to produce the liquidity turnover ratio, applying zero-filling for any missing data points to ensure complete time series coverage

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

Trading volume divided by total liquidity.

CurveCRV

Liquidity turnover

Liquidity turnover

Competitive landscape