Gravity Alpha batches users' transactions and submits them to Ethereum, paying a share of the transaction fees to Ethereum validators (expense).

Gravity Alpha is an L2 smart contract platform for decentralized applications on Ethereum. Gravity Alpha was founded by Galxe and launched in 2024.

G tokenholders own and govern the protocol. Galxe's investors include Arbitrum Foundation, Multicoin Capital, Dragonfly Capital, etc.

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Gravity Alpha Mainnet

# Gravity Alpha Mainnet Cost of revenue Methodology

## 1. Overview

GravityAlpha's cost of revenue metric measures the daily L1 gas fees paid by the protocol's sequencer to settle transactions on Ethereum. This metric captures the operational costs GravityAlpha incurs to secure and finalize transactions by posting transaction data and proofs to Ethereum's mainnet. The calculation tracks specific Ethereum transactions where GravityAlpha's sequencer pays gas fees to submit batched transaction data to the sequencer inbox contract, providing a direct measure of the protocol's operational expenses.

## 2. Data sources

- **Ethereum transaction data**: Complete Ethereum blockchain transaction records containing gas usage, gas prices, sender addresses, and recipient addresses
- **End-of-day token price feeds**: Price data for WETH (Wrapped Ethereum) to enable USD conversion of gas costs
- **Token metadata**: Decimal precision and contract information for WETH token

## 3. Step-by-step calculation

### Component A: L1 settlement identification
- **Purpose**: Identify and extract all Ethereum transactions representing GravityAlpha's L1 settlement costs
- **Logic**: Filter Ethereum transaction records to capture only transactions where the sender (`from_address`) is GravityAlpha's sequencer address `0xba369bd77a346babcd282cb1a015194e8ec54542` and the recipient (`to_address`) is the sequencer inbox contract `0x8d99372612e8cfe7163b1a453831bc40eaeb3cf3`. This filtering ensures only legitimate settlement transactions are captured, excluding any unrelated activity by these addresses.
- **Key fields**: `block_timestamp` for timing, `from_address` and `to_address` for transaction routing validation, `receipt_gas_used` for actual gas consumption, and `receipt_effective_gas_price` for the gas price paid

### Component B: Gas cost calculation
- **Purpose**: Calculate the actual ETH cost paid for each settlement transaction
- **Logic**: For each qualifying transaction, multiply the `receipt_gas_used` by the `receipt_effective_gas_price` to get the total gas cost in wei, then divide by 10^18 to convert from wei to ETH units. The calculation uses the effective gas price, which represents the actual amount paid per unit of gas after considering any fee adjustments or priority fees.
- **Key fields**: Transform raw gas metrics into `amount` field representing ETH spent, assign `token_address` as WETH contract address `0xc02aaa39b223fe8d0a0e5c4f27ead9083c756cc2`, and tag transactions with `chain` identifier as 'ethereum'

### Component C: Daily aggregation
- **Purpose**: Aggregate individual settlement transactions into daily cost totals
- **Logic**: Group all settlement transactions by day using timestamp truncation to day-level granularity. Sum the `amount` values (ETH gas costs) for all transactions occurring within each day. This provides daily operational cost totals rather than individual transaction costs.
- **Key fields**: Create `timestamp` field with daily boundaries, set `timestamp_grain` to 'day', populate `chain_id` with 'ethereum', set `product_id` as null, maintain `token_address` for WETH, and aggregate into `cost_of_revenue` field

### Component D: USD conversion
- **Purpose**: Convert daily ETH gas costs to USD values for standardized reporting
- **Logic**: Apply Token Terminal's conversion macro to transform ETH amounts to USD using end-of-day price feeds for WETH. The conversion uses the appropriate daily exchange rate and maintains precision without additional decimal corrections since gas calculations already account for proper ETH units.
- **Key fields**: Transform the `cost_of_revenue` field from ETH units to USD values while preserving all other dimensions

### Final aggregation
- **Combining components**: The data flows linearly through each component without additional joining, as each stage transforms the same transaction set
- **Currency conversion**: USD conversion occurs using end-of-day WETH price feeds applied to the daily aggregated ETH amounts
- **Time aggregation**: Daily boundaries are established by truncating transaction timestamps to day-level granularity, with all transactions within a calendar day summed together
- **Final calculation**: The final metric value represents the total USD equivalent of gas fees paid by GravityAlpha's sequencer for L1 settlement activities each day, processed through Token Terminal's standard metric finalization framework that ensures consistent schema, validates identifiers, and applies zero-filling for any missing days to maintain continuous time series data

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

Expenses paid to third parties to deliver core service output.

Gravity Alpha MainnetG

Cost of revenue

Cost of revenue

Competitive landscape

Chain breakdown