Collators aggregate parachain transactions block candidates and producing state transition proofs for validators based on those blocks.

Hydration is a Polkadot parachain specialized in trading, lending, and stablecoin issuance.

HDX holders own and govern the protocol. Hydration’s investors include KR1 plc, Hypersphere, etc.

website

twitter

github

telegram

discord

medium

governance

etherscan

Blockchains (L2)

Hydration

# Hydration Average trading volume (per user) Methodology

## 1. Overview

Average trading volume (per user) measures the daily mean value of trades executed by unique active users on Hydration. This metric is used to evaluate the composition of the protocol's participant base, specifically identifying whether activity is driven by retail-oriented or institutional-scale trading patterns. The calculation incorporates swap activity from Hydration DEX and accounts for unique users across both the Hydration Substrate and Hydration EVM layers.

## 2. Data sources

- **Blockchain events**: `Swapped`, `Swapped2`, and `Swapped3` events from `broadcast` contracts, `Executed` events from `ethereum` contracts, and transaction extrinsics, covering Hydration Substrate and Hydration EVM
- **External data**: End-of-day price feeds and asset metadata

## 3. Step-by-step calculation

### Component A: Hydration DEX trading volume extraction

- **Purpose**: Identify and quantify all swap activity occurring on the Hydration DEX.
- **Logic**: `Swapped`, `Swapped2`, and `Swapped3` events are parsed from the `broadcast` contract. For each event, the incoming asset, incoming amount, outgoing asset, and outgoing amount are extracted. These amounts are then normalized by decimal precision using asset metadata.
- **Key fields**: `asset_in`, `amount_in`, `asset_out`, `amount_out`

### Component B: Active user identification

- **Purpose**: Determine the total number of unique daily participants across the project's infrastructure.
- **Logic**: Unique user addresses are aggregated on a daily basis from two primary sources. For Hydration Substrate, transaction senders are identified from transaction extrinsics. For Hydration EVM, user addresses are extracted from `Executed` events emitted by the `ethereum` contract. These addresses are combined to form a project-level daily active user count.
- **Key fields**: `user_address`, `block_timestamp`

### Component C: USD conversion and outlier mitigation

- **Purpose**: Normalize trading values to USD while preventing data distortion from price manipulation.
- **Logic**: Daily trading volumes are converted to USD using end-of-day price feeds for both the incoming and outgoing assets. To mitigate potential price manipulation or data outliers, the lower value between the USD-denominated incoming amount and outgoing amount is selected as the representative volume for each trade. If one asset lacks a reliable price feed, the volume is excluded or capped based on predefined asset-specific thresholds.
- **Key fields**: `price_usd`, `trading_volume`

### Component D: Final average calculation

- **Purpose**: Produce the final average volume metric per unique user.
- **Logic**: Total daily trading volume (Component C) is divided by the total number of active users (daily) (Component B). The resulting value represents the average volume generated per unique address over a 24-hour window. Results are zero-filled for any days where no activity is recorded.

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

Average trading volume (per user)

Trading volume divided by daily active users.

HydrationHDX

Average trading volume (per user)

Average trading volume (per user)

Competitive landscape