# Fluid DEX Lite Trading volume Methodology

## 1. Overview

The total value of trades executed on Fluid DEX Lite is measured by trading volume. This metric is utilized to evaluate the protocol's liquidity, user adoption, and capacity to generate trading fees. Through the analysis of executed swaps, the utilization of Fluid DEX Lite's smart contracts and its overall market share within the decentralized exchange ecosystem are assessed.

## 2. Data sources

- **Blockchain events**: `LogSwap` events from `FluidDexLite` contracts and pool state data from `FluidDexLite` pool registry contracts, covering Ethereum
- **External data**: End-of-day price feeds and asset metadata

## 3. Step-by-step calculation

### Component A: Trade extraction and decoding

- **Purpose**: Extract and decode swap transactions executed on Fluid DEX Lite
- **Logic**: `LogSwap` events from `FluidDexLite` contracts are parsed. The encoded swap data field is decoded using bitwise operations to extract the decentralized exchange identifier, the trade direction (identifying if the swap is from the first asset to the second asset), the adjusted input amount, and the adjusted output amount. These decoded trades are then joined with transaction data to identify the user address, and with pool state data to map the trade to the correct pool and asset addresses.
- **Key fields**: `swapData` (encoded trade details), `transaction_hash` (transaction identifier), `address` (pool address)

### Component B: Fee tier matching and decimal normalization

- **Purpose**: Apply the correct fee tier and normalize asset amounts
- **Logic**: Decoded trades are joined with pool metadata to retrieve the applicable fee tier and asset addresses. The latest fee tier is matched to each trade based on the block number. Because the decoded input and output amounts are represented in a 9-decimal adjusted precision format, both asset amounts are normalized by dividing by the 9-decimal precision factor to obtain the human-readable asset quantities.
- **Key fields**: `fee_tier` (pool fee rate), `amount_in` (input asset quantity), `amount_out` (output asset quantity)

### Component C: Canonical pair ordering and aggregation

- **Purpose**: Establish consistent trading pair names and aggregate daily volumes
- **Logic**: Token symbols are retrieved from asset metadata. To prevent duplicate pairs with reversed token orders, a canonical ordering is established by sorting the assets alphabetically or based on the presence of stablecoins. The normalized asset quantities are then aggregated on a daily basis per pool, trading pair, trade direction, and fee rate.
- **Key fields**: `token_symbol_0` (first asset symbol), `token_symbol_1` (second asset symbol), `amount_0` (normalized quantity of the first asset), `amount_1` (normalized quantity of the second asset)

### Component D: USD conversion and single-sided volume calculation

- **Purpose**: Convert asset volumes to USD and calculate the final single-sided trading volume
- **Logic**: The aggregated daily asset quantities for both legs of each trade are multiplied by their respective end-of-day asset prices. To prevent double-counting and mitigate potential pricing anomalies, the single-sided trading volume is calculated by taking the lesser of the USD values of the two traded assets. Daily values are aggregated using UTC day boundaries, and any missing days are filled with zero values.
- **Key fields**: `price_usd` (asset price in USD), `trading_volume` (final single-sided volume in USD)

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

Total value of spot trades executed on the exchange.

Trading volume

Exchanges (DEX)

Fluid acts as a lending, vault, and DEX platform for seamless DeFi interaction.

Fluid is a non-custodial lending, vaults, and DEX protocol built by Instadapp. Instadapp was founded by Samyak Jain & Sowmay Jain and launched in 2018.

FLUID tokenholders own and govern the protocol. They currently earn a cut of the fees generated through Fluid lending, vault and DEX services. Instadapp's investors include Coinbase Ventures, Pantera Capital, Robot Ventures, etc.

Fluid DEX Lite

Trading volume

Trading volume

Chain breakdown