Liquidity providers deposit funds into Katana and receive trading fees from traders (supply-side fees).

Katana is a non-custodial exchange protocol built on Ronin. Katana was founded by Sky Mavis and launched in 2021.

The Ronin team own and govern the protocol. They currently take a cut of the total trading fees paid by traders (revenue).

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Exchanges (DEX)

Katana (Ronin)

# Katana Tradeable pairs Methodology

## 1. Overview

The Katana tradeable pairs metric measures the cumulative number of trading pairs available on the Katana decentralized exchange, categorized by liquidity levels. This metric answers the business question "How many trading pairs are actively tradeable on Katana?" and tracks the growth of trading options available to users. The calculation combines pair creation events with liquidity analysis to provide a comprehensive view of market depth across different liquidity cohorts.

## 2. Data sources

The calculation relies on several key data sources:

- **Katana Factory events**: Parsed `PairCreated` events from Katana v1 Factory contract on Ronin blockchain, containing pair creation timestamps, pair contract addresses, and constituent token addresses
- **Katana Pair events**: Parsed `Sync` events from individual Katana pair contracts on Ronin blockchain, tracking reserve balance updates for both tokens in each pair
- **Token metadata**: Token reference data including symbols, decimal places, and standardized identifiers for proper token amount calculations
- **End-of-day price feeds**: Daily USD price data for tokens to enable liquidity calculations and cohort classifications
- **Manual token registry**: Manually curated token information for tokens not present in the standard token registry, specifically including Smooth Love Potion (SLP) token details

## 3. Step-by-step calculation

### Component A: Trading pair identification
- **Purpose**: Identifies all trading pairs created on Katana DEX with their creation timestamps
- **Logic**: Processes `PairCreated` events from Katana Factory contract to extract when each trading pair was first created. Each event contains the pair contract address and the two constituent token addresses. The logic joins this with token metadata to add token symbols, decimal places, and creates readable pair names in the format "TOKEN0-TOKEN1". Manual token data is used as fallback for tokens not found in the standard registry.
- **Key fields**: `block_timestamp` for creation time, `account_address` for pair contract, `token0_address` and `token1_address` for constituent tokens, `account_name` for pair symbol

### Component B: Reserve tracking and asset flows
- **Purpose**: Monitors liquidity changes in each trading pair over time
- **Logic**: Processes `Sync` events from individual pair contracts to track reserve balance updates. Raw reserve amounts are corrected for token decimals by dividing by 10 raised to the token's decimal places. Daily aggregation uses a window function to capture the last reserve balance for each day. Asset flows are calculated by taking the difference between consecutive days' reserve balances, representing net liquidity changes. If no activity occurs on a given day, the full reserve balance is used as the baseline.
- **Key fields**: `reserve0_amount` and `reserve1_amount` for corrected token balances, `token0_amount` and `token1_amount` for daily flow changes

### Component C: Net deposits calculation
- **Purpose**: Calculates the total net liquidity deposited into each trading pair
- **Logic**: Applies DEX-specific methodology to convert daily asset flows into net deposit values. This involves analyzing the directional flow of tokens in and out of liquidity pools. The calculation accounts for both tokens in each pair and aggregates flows over the pair's entire lifetime to determine cumulative net deposits.
- **Key fields**: `net_deposits` representing total liquidity value deposited into each pair

### Component D: USD conversion and liquidity cohorts
- **Purpose**: Converts net deposits to USD and classifies pairs by liquidity levels
- **Logic**: Joins net deposit calculations with end-of-day price feeds for both tokens in each pair. Net deposits are calculated as the sum of (token0 amount × token0 USD price) + (token1 amount × token1 USD price). Pairs are then classified into liquidity cohorts: greater than $1m, $500k-$1m, $100k-$500k, $25k-$100k, $5k-$25k, and less than $5k. This classification enables analysis of trading pairs by their liquidity depth.
- **Key fields**: `net_deposits` in USD value, `liquidity_cohort` for classification category

### Final aggregation
- **Combining components**: The methodology combines pair creation timestamps with liquidity classifications to produce time-series counts of tradeable pairs. For each day, it calculates the cumulative number of pairs created up to that point, then adjusts these counts based on liquidity cohorts.
- **Currency conversion**: USD conversion occurs at the daily level using end-of-day token prices, ensuring consistent valuation timing across all calculations
- **Time aggregation**: Daily boundaries are established using day-truncated timestamps, with forward-fill logic applied to ensure no gaps in the time series
- **Final calculation**: The base tradeable pairs count represents the cumulative sum of all pairs created through each day. Higher liquidity cohorts (pairs with more than $5k in net deposits) are counted separately and subtracted from the base count to prevent double-counting. This produces distinct counts for each liquidity cohort while maintaining an accurate total. The finalization macro applies schema validation and forward-fill strategy to ensure data quality and completeness.

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

Number of unique token pairs available for trading on the exchange.

Katana (Ronin)

Tradeable pairs

Tradeable pairs

Competitive landscape