Lenders deposit funds into Euler and receive interest payments from borrowers (supply-side fees).

Euler is a non-custodial lending protocol built on Ethereum. Euler was founded by Michael Bentley, Doug Hoyte & Jack Prior and launched in 2021.

EUL tokenholders own and govern the protocol. They currently take a cut of the total interest paid by borrowers (revenue). Euler’s investors include Paradigm, Lemniscap, Launchhub Ventures, etc.

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Lending

Euler

# euler Tvl Methodology

## 1. Overview

Tvl measures the total value of assets deposited into Euler V2 lending vaults plus the value of outstanding debt. It serves as a primary indicator of the protocol's liquidity and credit utilization across its modular vault architecture. Tvl is calculated as the sum of net deposits (cumulative asset transfers into vaults) and active loans (outstanding debt owed by borrowers).

## 2. Data sources

- **Blockchain events**: `ProxyCreated` events from `EVaultFactory` contracts, `VaultStatus` events from `EVault` contracts, and ERC-20 `Transfer` events, covering Ethereum, Base, Sonic, Avalanche, and 7 other chains
- **External data**: End-of-day price feeds and asset metadata

## 3. Step-by-step calculation

### Component A: Euler V2 market identification

- **Purpose**: Identify the smart contract addresses for all active lending vaults.
- **Logic**: `ProxyCreated` events from `EVaultFactory` contracts are parsed to extract the proxy address and the underlying asset address for each market. This mapping is used to filter relevant token transfers and vault status updates across all supported chains.
- **Key fields**: `account_address`, `token_address`

### Component B: Net deposit tracking

- **Purpose**: Calculate the total value of assets held within the protocol's vaults.
- **Logic**: ERC-20 token transfers to and from the identified market addresses are monitored. Daily net changes are calculated by subtracting outgoing transfers from incoming transfers. These daily values are then summed cumulatively to determine the total balance of each asset held in the protocol at any given time. Negative cumulative balances are filtered to ensure data integrity.
- **Key fields**: `amount`, `token_address`, `account_address`

### Component C: Active loans tracking

- **Purpose**: Capture the value of outstanding debt within the protocol.
- **Logic**: `VaultStatus` events from `EVault` contracts are parsed to extract the `total_borrows` field. The most recent value for each market is recorded daily to represent the total amount of debt currently owed by borrowers.
- **Key fields**: `total_borrows`, `account_address`

### Component D: USD conversion and final aggregation

- **Purpose**: Normalize asset values and aggregate them into a single USD-denominated metric.
- **Logic**: Cumulative net deposits and active loan amounts are normalized by decimal precision. These values are then multiplied by end-of-day price feeds for each respective asset. The final Tvl is calculated as the sum of the USD-denominated net deposits and active loans across all markets and chains.
- **Key fields**: `price_usd`, `decimals`

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

Total value locked (TVL)

Total value locked (TVL) — value deposited into the project's applications.

EulerEUL

Total value locked

Total value locked

Competitive landscape

Chain breakdown