# Injective Cosmos Supply-side fees Methodology

## 1. Overview

Supply-side fees measures the total value of transaction fees distributed to the validators who secure and operate Injective Cosmos. This metric represents the incentive provided to decentralized infrastructure participants for processing transactions and maintaining network consensus. Within Injective Cosmos, 100% of the collected transaction fees are allocated to the supply-side.

## 2. Data sources

- **Blockchain events**: Transaction metadata and fee records from Injective Cosmos
- **External data**: End-of-day price feeds for the native INJ asset

## 3. Step-by-step calculation

### Component A: Transaction fee extraction

- **Purpose**: To identify and capture the raw fees paid by users for network transactions.
- **Logic**: Fees are parsed from the metadata of all transactions processed on Injective Cosmos. The numerical fee amount and the asset unit are extracted from the transaction records. Values are then normalized by the decimal precision of the native asset.
- **Key fields**: `transaction_fee` and the associated asset unit.

### Component B: Supply-side attribution

- **Purpose**: To determine the share of fees directed to service providers rather than the protocol treasury.
- **Logic**: For Injective Cosmos, the protocol does not retain any portion of the transaction fees as revenue. Consequently, 100% of the extracted transaction fees are attributed to the supply-side. This differs from other environments where a portion of the fee might be burned or redirected.
- **Key fields**: `total_fees` (aggregated daily).

### Component C: USD conversion and aggregation

- **Purpose**: To normalize value across different time periods and assets into a standard currency.
- **Logic**: The daily sums of transaction fees in native assets are multiplied by end-of-day price feeds. Data is aggregated at a daily granularity following UTC day boundaries.
- **Key fields**: `block_timestamp` and end-of-day price.

*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)

Validators process transactions and receive transactions fees (supply-side fees).

Injective is a smart contract platform for decentralized finance applications (a blockchain) and an orderbook exchange protocol. Injective was founded by Eric Chen, Albert Chon etc. and launched in 2020. Note that this dashboard only tracks Injective's blockchain business.

INJ holders own and govern the protocol. They currently take a cut of the total transaction fees paid by users (revenue) via Burn Auctions. Injective's investors include Binance, Jump Crypto, Mark Cuban, etc.

Injective Cosmos

Supply-side fees

Supply-side fees

Chain breakdown