# Cash Active loans Methodology

## 1. Overview

Active loans measures the total value of outstanding debt within the Ether.fi Cash product. This metric represents the portion of deposited assets that have been borrowed by users and are currently accruing interest. It serves as a key indicator of capital utilization and the protocol's capacity to generate interest-based revenue from lending activities.

## 2. Data sources

- **Blockchain events**: `Borrowed`, `Repaid`, and `UserInterestAdded` events from `CashDebitCore`, `UserSafeEventEmitter`, and `DebtManagerCore` contracts, covering Scroll and Optimism
- **External data**: End-of-day price feeds and asset metadata

## 3. Step-by-step calculation

### Component A: Cash product borrowing activity

- **Purpose**: To identify and quantify new debt obligations initiated by users.
- **Logic**: `Borrowed` events are parsed from `CashDebitCore`, `UserSafeEventEmitter`, and `DebtManagerCore` contracts. Each event is filtered to remove reorganized or invalid logs. The specific asset and borrow amount are extracted to determine the gross increase in debt for each transaction.
- **Key fields**: `amount`, `token_address`, `user_address`

### Component B: Cash product interest accrual

- **Purpose**: To track the increase in outstanding debt resulting from accrued interest.
- **Logic**: `UserInterestAdded` events are parsed from `UserSafeEventEmitter` and `DebtManagerCore` contracts. The net interest added is calculated by subtracting the borrow amount before the interest update from the borrow amount after the interest update. This value represents the realized growth of the active loan balance due to interest rates.
- **Key fields**: `borrowingAmtAfterInterest`, `borrowingAmtBeforeInterest`

### Component C: Cash product repayment activity

- **Purpose**: To track the reduction in outstanding debt as users repay their loans.
- **Logic**: `Repaid` events are parsed from `CashDebitCore`, `UserSafeEventEmitter`, and `DebtManagerCore` contracts. The amount repaid in each event is extracted and treated as a negative delta against the total outstanding loan balance.
- **Key fields**: `amount`, `token_address`, `user_address`

### Component D: Daily net balance and cumulative aggregation

- **Purpose**: To calculate the daily change in debt and the total outstanding balance over time.
- **Logic**: Daily totals are calculated for borrows, interest additions, and repayments. The daily net change is determined by adding borrows and interest, then subtracting repayments. A cumulative sum of these daily net changes is performed to arrive at the total outstanding active loans balance for each day.
- **Key fields**: `borrows_amount`, `interest_amount`, `repays_amount`, `net_delta`

### Component E: USD conversion and normalization

- **Purpose**: To normalize asset values to a common currency (USD) for reporting.
- **Logic**: Raw asset amounts are normalized by decimal precision based on asset metadata. The normalized values are multiplied by end-of-day price feeds to determine the USD value. Daily values are forward-filled to ensure data continuity.
- **Key fields**: `active_loans`, `token_address`, `price_usd`

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

Value of loans currently outstanding to borrowers.

Active loans

Lending

Stakers deposit funds into Ether.fi and receive a return on investment in the form of staking rewards (supply-side fees).

Ether.fi is a non-custodial staking protocol built on Ethereum and other blockchains. Ether.fi was founded by Mike Silagadze and launched in 2023.

Ether.fi team & investors own and govern the protocol. They currently take a cut of the total staking rewards earned by the protocol (revenue). Ether.fi’s investors include North Island Ventures, Chapter One, Node Capital, and Arthur Hayes.

Cash

Active loans

Active loans

Chain breakdown