# HyperEVM Supply-side fees Methodology

## 1. Overview

Supply-side fees is defined as the share of transaction fees that is distributed to external service providers and supply-side participants on HyperEVM. For HyperEVM, this metric is set to zero. All gas fees generated from transactions on HyperEVM are retained entirely by the protocol as revenue, with no pass-through distributions or allocations to external infrastructure operators. Consequently, no supply-side fee distributions are recorded for the operation of HyperEVM.

## 2. Data sources

- **None**: This metric is set to a constant value of zero for HyperEVM and does not consume blockchain events.

## 3. Step-by-step calculation

### Component A: Supply-side fee evaluation

- **Purpose**: To evaluate the portion of HyperEVM gas fees allocated to external service providers.
- **Logic**: The supply-side fees for HyperEVM are calculated as the difference between total fees and protocol revenue. Because 100% of the gas fees collected on HyperEVM are classified as protocol revenue, the subtraction yields a net value of zero. No external allocations or pass-through fees are applied to HyperEVM transactions.

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

Portion of fees distributed to service providers or supply-side participants.

Supply-side fees

Blockchains (L1)

Hyperliquid generates revenue through on-chain perpetual futures and spot trading, facilitated by its HyperCore execution layer. Every order, trade, and liquidation occurs on-chain with one-block finality, enabling ultra-low latency and transparent trading. Liquidity providers and market makers earn supply-side fees from bid-ask spreads and transaction rebates, while network participants can earn governance and staking rewards via the HYPE token.

Hyperliquid is a layer-one (L1) blockchain purpose-built for trading and decentralized finance. It combines: HyperCore, the high-performance trading engine powering perpetuals, spot markets, and oracles; HyperEVM, a fully compatible smart contract layer enabling developers to build DeFi applications such as lending, vaults, governance, bridges, and stablecoins directly on-chain. Its consensus mechanism, HyperBFT, is a custom algorithm inspired by HotStuff, optimized for throughput (200k+ orders/sec) and deterministic finality. The HYPE token underpins the network, granting holders rights to participate in governance, staking, and securing the protocol — effectively letting users own a share of the Hyperliquid ecosystem.

HYPE tokenholders own, govern, and secure the Hyperliquid network through on-chain governance. The Hyper Foundation oversees community governance and ecosystem growth, ensuring decentralization and alignment of incentives across traders, builders, and validators. Hyperliquid’s investors include Tioga Capital Partners, Collab+Currency, Infinite Capital (San Juan), Optimista Capital, and RockawayX, all holding minority venture capital positions.

HyperEVM

Supply-side fees

Supply-side fees

Chain breakdown