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

KyberSwap is a non-custodial exchange protocol & aggregator built on Ethereum and other adjacent blockchains. KyberSwap was founded by Loi Luu and Victor Tran in 2017.

KNC tokenholders own and govern the protocol. They currently take a cut of the total trading fees paid by traders (revenue). Kyber Network raised $52 million in an ICO in 2017.

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KyberSwap

# KyberSwap Average fees per user (AFPU) Methodology

## 1. Overview

Average fees per user (AFPU) measures the average fee revenue generated per daily active user on KyberSwap. This metric answers the question "How much fee revenue does each user generate on average per day?" and is calculated by dividing total daily fees by the number of active users (daily). Fee data is combined from multiple KyberSwap components, including the Exchange AMM, KyberSwap Aggregator, and flash loans, across multiple blockchain networks.

## 2. Data sources

- **Blockchain events**: `Fee` events from `MetaAggregationRouterV2` contracts, `FeeDistributed` events from `KyberFeeHandler` contracts, `Flash` events from `Pool` and `ElasticPool` contracts, `Swap` events from `Pool`, `ElasticPool`, `KSPool`, and `DMMPool` contracts, `Swapped` events from `MetaAggregationRouter` contracts, and `PoolCreated` events from `Factory`, `KSFactory`, and `ElasticFactory` contracts, plus transaction records to identify user addresses, covering Ethereum, Arbitrum, Avalanche, Base, Polygon, and 11 other chains
- **External data**: End-of-day price feeds and asset metadata

## 3. Step-by-step calculation

### Component A: Direct aggregator and legacy fees

- **Purpose**: Captures explicit fee collection from the KyberSwap Aggregator and legacy platforms.
- **Logic**: Fee amounts are extracted directly from `Fee` events from `MetaAggregationRouterV2` contracts where fees are recorded in the `totalFee` field. For legacy Ethereum contracts, platform fees and rewards are combined from `FeeDistributed` events from `KyberFeeHandler` contracts. Native token identifier addresses (`0xeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeee`) are substituted with corresponding wrapped token addresses for each chain. Denylisted token addresses are filtered out and token amounts are converted to proper units using token decimal information.
- **Key fields**: `totalFee`, `platformFeeWei`, `rewardWei`, and `token` addresses.

### Component B: Flash loan fees

- **Purpose**: Calculates fees generated from flash loan activities on KyberSwap V3.
- **Logic**: `Flash` events from `Pool` and `ElasticPool` contracts are processed to extract flash loan fee amounts from the `paid0` and `paid1` fields. Trading pair dimension data is joined to obtain token addresses and decimals. Fee amounts are converted to USD using end-of-day price feeds for both tokens and summed. Data is only included up to the decommission date of November 23, 2023, due to a contract exploit.
- **Key fields**: `paid0` and `paid1` fee amounts, pool addresses, and flash loan volumes.

### Component C: Trading fees from swap volume

- **Purpose**: Calculates implied fees from trading volume using fee tier percentages.
- **Logic**: Swap events are processed across all KyberSwap versions to calculate trading volumes. For KyberSwap V2 swaps, fee tiers are extracted directly from swap events using the `feeInPrecision` field. For KyberSwap V3 and aggregator swaps, fee tiers are retrieved from pool creation events or set to zero. Trading volume is calculated as the lesser USD value between token amounts to prevent price manipulation artifacts. Trading volume is multiplied by the fee tier percentage to derive fee amounts. Token amounts are converted using decimal correction and end-of-day USD prices.
- **Key fields**: `deltaQty0`, `deltaQty1`, `amount0In`, `amount0Out`, `amount1In`, `amount1Out`, `feeInPrecision`, and `swapFeeUnits`.

### Component D: Daily active user identification

- **Purpose**: Counts unique users who performed any activity on KyberSwap.
- **Logic**: User addresses are unioned from all activity types (trades, flash loans, aggregator swaps) by extracting the `from_address` field from transaction records. Daily timestamp truncation is applied and data is aggregated for distinct counting across different dimensional breakdowns (chain, user type, product). All users are classified as "Trader" type since all activities involve trading-related functions.
- **Key fields**: Transaction `from_address` as user identifier and `block_timestamp` for daily grouping.

### Component E: Final aggregation and USD conversion

- **Purpose**: Combine fee components and normalize to USD for the final AFPU calculation.
- **Logic**: All fee types (direct aggregator fees, flash loan fees, and calculated trading fees) are summed by day to calculate total daily fee revenue. Active users (daily) are aggregated to determine the total daily user count. All token amounts are converted to USD using end-of-day price feeds matched by timestamp, chain, and token address. Native token identifiers are replaced with wrapped token addresses before price lookups. All timestamps are truncated to day boundaries. AFPU is calculated by dividing the total daily fees by the daily active user count.

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

KyberSwapKNC

Average fees per user (AFPU)

Average fees per user (AFPU)

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