# Katana Chain Median transaction fee Methodology

## 1. Overview

Median transaction fee measures the median fee paid across all transactions on Katana Chain. This metric represents the cost incurred by a typical user for a single transaction, providing a more accurate reflection of standard network usage costs than an average, which can be skewed by extreme values. The total fee for Katana Chain includes L2 execution costs, L1 data availability costs, and specific operator fees.

## 2. Data sources

- **Blockchain events**: Transactions on Katana Chain
- **External data**: End-of-day price feeds for native gas assets

## 3. Step-by-step calculation

### Component A: Transaction fee extraction

- **Purpose**: Calculate the total fee paid for every individual transaction on Katana Chain
- **Logic**: Fees are calculated as the sum of three distinct components: L2 execution fees, L1 data availability fees, and operator fees. L2 execution fees are derived by multiplying gas usage by the effective gas price. L1 fees are extracted from the L1 fee field or calculated using L1 gas usage, L1 gas prices, and a fee scalar. Operator fees are determined by combining a constant operator fee with a scaled gas usage factor. All components are summed to arrive at a total fee per transaction.
- **Key fields**: `gas_used`, `gas_price`, `l1_fee`, `l1_gas_used`, `l1_gas_price`, `l1_fee_scalar`, `operator_fee_constant`, and `operator_fee_scalar`

### Component B: Median fee aggregation

- **Purpose**: Identify the 50th percentile of transaction fees to determine the typical user cost
- **Logic**: All calculated transaction fees are grouped by day using UTC boundaries. Within each daily group, the median value is identified by calculating the 50th percentile of the fee distribution. This statistical approach ensures that the resulting metric is not influenced by transactions with exceptionally high or low gas costs.

### Component C: USD conversion and normalization

- **Purpose**: Normalize fee values and convert them into a standardized USD representation
- **Logic**: Fee amounts are normalized by decimal precision to account for the native asset's formatting. These normalized values are then multiplied by end-of-day price feeds for the native gas asset. The final output is a daily median value denominated in USD.

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

Median transaction fee

Blockchains (L2)

The network uses pessimistic proofs via the AgglayerGateway for settlement on Ethereum, with vault bridges for cross-chain asset transfers.

Katana Network provides a scalable execution environment connected to Ethereum through the Agglayer interoperability layer.