Users complete Quests, Races, or other experiences to earn rewards.

Layer3 is a platform that allows anyone to discover web3 through interactive experiences.

L3 tokenholders own and govern the protocol. L3's investors include ParaFi Capital, Greenfield Capital, etc.

twitter

discord

website

Infrastructure

Layer3

# Layer3 Average revenue per user (ARPU) Methodology

## 1. Overview

Average revenue per user (ARPU) measures Layer3's daily revenue efficiency by dividing total revenue by the number of active users (daily). This metric indicates how much revenue Layer3 generates per user on average, providing insight into monetization effectiveness across the project's infrastructure services, Cube rewards system, B2B offerings, bridging services, and referral programs. ARPU is calculated by dividing total daily revenue (converted to USD) by the count of distinct active users (daily), with zero-filling applied for days with missing data.

## 2. Data sources

- **Blockchain events**: `CubeClaim` events from `Cube` contracts and `EscrowRegistered` events from `Factory` contracts, plus native asset transfers, ERC-20 transfer events, and native transaction values covering Ethereum, Arbitrum, Avalanche, Base, and 7 other chains
- **External data**: End-of-day asset price feeds and asset metadata used for USD conversion and decimal precision normalization

## 3. Step-by-step calculation

### Component A: Revenue calculation

- **Purpose**: Aggregates total daily revenue from all Layer3 revenue streams
- **Logic**: Combines five distinct revenue sources. Cube mint fees are calculated from native asset transaction values where the transaction hash matches a `CubeClaim` event, using predefined native asset addresses per chain. B2B escrow revenue comes from asset transfers to tracked primary wallets and registered escrow contracts identified via `EscrowRegistered` events. Cube revenue in L3 assets tracks transfers of specific L3 asset addresses to designated product wallets. Bridge fees monitor transfers to specific bridge wallet addresses across all chains. Referral revenue tracks transfers to a referral wallet address across all supported chains.
- **Key fields**: Asset amounts are normalized using decimal precision from asset metadata, converted to USD using price feeds from end-of-day feeds, and aggregated by timestamp (daily), `chain_id`, `product_id`, and `token_address`

### Component B: active users (daily) calculation

- **Purpose**: Counts distinct users interacting with Layer3 services daily
- **Logic**: Identifies users from six activity sources. B2B users are `from_address` values in escrow revenue transfers. Bridge users are `from_address` values in bridge fee transfers. Referrers are `from_address` values in referral revenue transfers. Cube revenue users are `from_address` values in L3 asset transfers to product wallets. Cube claimers are extracted from `claimer` fields in parsed `CubeClaim` events across all chains and contract versions. Reward recipients are `to_address` values in transfers from registered escrow contracts to users.
- **Key fields**: User addresses are extracted as `user_address`, categorized by `user_type` and `product_id`, and aggregated by day to determine distinct daily participants

### Component C: Final aggregation and dimensional processing

- **Purpose**: Creates multiple dimensional views of user counts for comprehensive ARPU calculation
- **Logic**: User data is aggregated to create four dimensional views: project-level (all users combined), chain-level (users broken down by blockchain), user-type-level (users categorized by activity type like 'CUBE claimer' or 'B2B user'), and product-level (users grouped by product like 'cube', 'bridge', or 'referral'). Revenue is similarly processed and aggregated by the same dimensional structure.
- **Key fields**: Dimensional breakdowns use `dimensions`, `chain_id`, `product_id`, and `user_type` fields to produce final daily active user counts

### Component D: Final aggregation and calculation

- **Purpose**: Combines revenue and user components to calculate the final ARPU values
- **Logic**: Revenue and user metrics are matched by timestamp and dimensional attributes. All revenue streams are converted to USD using end-of-day asset prices matched by asset address and chain, with amounts normalized by decimal precision. Both revenue and user data are aggregated to daily boundaries using UTC day truncation to ensure consistent temporal alignment. ARPU is calculated as total daily revenue divided by total active users (daily), with zero-filling applied for days without data.
- **Key fields**: `timestamp`, `revenue`, `user_dau`, and the resulting `arpu` field

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

Layer3L3

Average revenue per user (ARPU)

Average revenue per user (ARPU)

Competitive landscape