# LayerZero V1 Transfer volume Methodology

## 1. Overview

Transfer volume measures the total value of assets moved across chains using LayerZero V1. This metric is utilized to evaluate cross-chain activity and serves as a proxy for the protocol's utility and its capacity to generate fees for infrastructure providers. All bridge activities associated with LayerZero V1 and the integrated Stargate liquidity pools are captured to reflect the aggregate value of cross-chain message passing and asset swaps.

## 2. Data sources

- **Blockchain events**: `SendToChain` and `Swap` events from `OFT` and `StargateV1` contracts, and `send` function calls from `EndpointV1` contracts, covering Ethereum, Arbitrum, Avalanche, Base, and 16 other chains
- **External data**: Asset metadata and end-of-day price feeds

## 3. Step-by-step calculation

### Component A: Extraction of cross-chain transfer events

- **Purpose**: Identify and capture the raw quantity of assets being moved through the protocol
- **Logic**: `SendToChain` events are parsed from `OFT` and `StargateV1` contracts. These events are joined with `send` function calls from `EndpointV1` contracts using the transaction hash and block timestamp to ensure the transfers are correctly attributed to the LayerZero V1 infrastructure. Additionally, `Swap` events are parsed from `StargateV1` contracts to include volume generated through liquidity pool-based transfers.
- **Key fields**: `amount`, `qty`, and `amountSD`

### Component B: Underlying asset resolution

- **Purpose**: Map wrapped bridge assets to their corresponding underlying assets for accurate valuation
- **Logic**: Wrapped assets, such as Omnichain Fungible Tokens (OFTs), are mapped to their underlying asset addresses using protocol state records. In instances where an underlying asset is represented as a null address, it is resolved to the wrapped gas asset of the respective chain to ensure correct metadata association.
- **Key fields**: `oft_address`, `underlying_token_address`, and `wrapped_gas_token`

### Component C: Normalization and USD conversion

- **Purpose**: Convert native asset quantities into a standardized USD value
- **Logic**: Asset quantities are normalized by their respective decimal precision. The resulting values are multiplied by end-of-day price feeds corresponding to the timestamp and source chain of the transfer. Data is aggregated at a daily granularity using UTC day boundaries.
- **Key fields**: `transfer_volume`, `timestamp`, and `chain_id`

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

Total value of assets moved across chains through a bridge.

Transfer volume

Interoperability

LayerZero uses a decentralized network of Validator Nodes to facilitate secure and fast communication between different blockchains.

LayerZero allows users to send and receive messages between different blockchains, and to bridge tokens between different blockchains.

LayerZero is a cross-chain interoperability protocol that enables secure and fast communication between different blockchains.

LayerZero v1

Transfer volume

Transfer volume

Chain breakdown