# Hyperliquid Spot Supply-side fees Methodology

## 1. Overview

Supply-side fees for Hyperliquid Spot is measured as the share of transaction fees that is distributed to external service providers rather than retained by the protocol. These fees are comprised of builder-code tips paid to front-end developers and deployer cuts allocated to asset deployers. The metric is calculated as the difference between total fees paid by traders and the revenue retained by the protocol. By isolating these pass-through fees, the compensation flowing directly to ecosystem builders and service providers is quantified.

## 2. Data sources

- **Blockchain events**: `node_fills` events from HyperCore, covering the HyperCore chain
- **External data**: End-of-day price feeds for assets traded on HyperCore

## 3. Step-by-step calculation

### Component A: Trade fill extraction and product filtering

- **Purpose**: Extract trade fills and filter for Hyperliquid Spot transactions
- **Logic**: Trade fills are parsed from `node_fills` events on HyperCore. Transactions are filtered to isolate Hyperliquid Spot by identifying assets where the symbol starts with `@` or contains `/`. For each fill, the total fee, builder fee, and deployer fee are extracted. If the deployer fee is not explicitly emitted, it is estimated using the asset's deployer prefix and the corresponding deployer fee multiplier scale, defaulting to a scale of 1.0 (representing a 50% multiplier) if the deployer is unlisted.
- **Key fields**: `fee`, `builder_fee`, `deployer_fee`, `coin`, `fee_token`

### Component B: Valuation and USD normalization

- **Purpose**: Convert fee components to USD
- **Logic**: Fee assets are valued in USD using end-of-day price feeds. For USD-denominated assets, a conversion factor of 1 is applied. For other assets, the end-of-day price is determined from the last recorded trade price of the day. Total fees, builder fees, and deployer fees are normalized by asset decimal precision and multiplied by their respective USD conversion factors to calculate daily USD values.
- **Key fields**: `eod_price_usd`, `usd_factor`

### Component C: Supply-side fee derivation

- **Purpose**: Calculate the final supply-side fees for Hyperliquid Spot
- **Logic**: Total fees and protocol revenue are aggregated daily. Protocol revenue is calculated by subtracting builder fees and deployer fees from total fees. Supply-side fees are then derived by subtracting protocol revenue from total fees, which mathematically isolates the sum of builder fees and deployer fees. The final daily values are aggregated and outputted.
- **Key fields**: `fees`, `revenue`, `fees_supply_side`

*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

Exchanges (DEX)

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.

Hyperliquid Spot

Supply-side fees

Supply-side fees

Chain breakdown