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.

Katana Network is a Layer 2 blockchain built on the Agglayer ecosystem.

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Blockchains (L2)

Katana

# Katana Network Cost of revenue Methodology

## 1. Overview

Cost of revenue measures the expenses incurred by Katana Network when outsourcing core infrastructure functions to third-party service providers. For Katana Chain, these expenses primarily consist of data availability fees paid to the underlying Layer 1 blockchain to ensure the security and finality of transactions. These payments are made to settle transaction batches and maintain the network's ledger on Ethereum.

## 2. Data sources

- **Blockchain events**: Transactions from Katana Network
- **External data**: End-of-day price feeds for the native gas asset (ETH)

## 3. Step-by-step calculation

### Component A: Katana Chain L1 data availability fee extraction

- **Purpose**: Capture the costs associated with settling transaction data to the Layer 1 settlement layer
- **Logic**: L1 fees are extracted from transaction receipts on Katana Network. The fee is identified via the `l1_fee` field or calculated by multiplying `l1_gas_used`, `l1_gas_price`, and the `l1_fee_scalar`. These values represent the specific expenses paid by the sequencer to Ethereum for data availability.
- **Key fields**: `l1_fee`, `l1_gas_used`, `l1_gas_price`, and `l1_fee_scalar`

### Component B: USD conversion and aggregation

- **Purpose**: Normalize cost values to USD and aggregate data to a daily frequency
- **Logic**: Daily fee totals are normalized by decimal precision and multiplied by end-of-day price feeds for the native gas asset. Values are aggregated to a daily granularity using UTC day boundaries.
- **Key fields**: `block_timestamp`, `token_address`, and `price_usd`

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

Expenses paid to third parties to deliver core service output.

KatanaKAT

Cost of revenue

Cost of revenue

Competitive landscape

Chain breakdown