Lenders deposit funds into Gearbox and receive interest payments from borrowers.

Gearbox is a non-custodial lending protocol built on Ethereum. Gearbox was founded by Mikhail Lazarev and launched in 2021.

GEAR tokenholders own and govern the protocol. They currently take a cut of the total interest paid by borrowers (revenue).

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Gearbox

# Gearbox Average revenue per user (ARPU) Methodology

## 1. Overview

Average revenue per user (ARPU) is defined as the daily revenue generated per active user for Gearbox. The metric is calculated by dividing total daily revenue by active users (daily). The monetization efficiency of individual users is reflected by this ratio on a daily basis across Gearbox V1, Gearbox V2, and Gearbox V3. A standardized view of user-level value generation is provided by this metric, which assists in evaluating the protocol's economic performance.

## 2. Data sources

- **Revenue**: Derived from the Revenue metric
- **Active users (daily)**: Derived from the Active users (daily) metric

## 3. Step-by-step calculation

### Component A: Daily revenue aggregation

- **Purpose**: Establish the total daily revenue generated by the protocol.
- **Logic**: Daily revenue values are retrieved from the upstream Revenue metric. The revenue amounts, which represent the protocol's share of interest markup, liquidation fees, and treasury receipts across Gearbox V1, Gearbox V2, and Gearbox V3, are summed for each day to establish the total daily revenue.
- **Key fields**: `revenue`

### Component B: active users (daily) retrieval

- **Purpose**: Retrieve the active users (daily) count for the protocol.
- **Logic**: active users (daily) are retrieved from the upstream Active users (daily) metric. The distinct count of active addresses—including depositors, withdrawers, borrowers, and repayers across all supported versions—is aggregated for each day at the project level.
- **Key fields**: `user_dau`

### Component C: Average revenue per user calculation

- **Purpose**: Calculate the final ARPU ratio and normalize the time series.
- **Logic**: The total daily revenue is divided by the active users (daily) count for each corresponding day. In instances where no user activity or revenue is recorded, missing values are filled with zeros to ensure a continuous daily time series.
- **Key fields**: `arpu`

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

GearboxGEAR

Average revenue per user (ARPU)

Average revenue per user (ARPU)

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