Decouples execution, sequencing, and verification into specialized roles to maximize hardware utilization. Settles to Ethereum as an L2. Run via a single sequencer model with stateless validation. Uses an EVM-compatible execution environment.

MegaETH is an Ethereum Layer 2 blockchain that targets 100,000+ transactions per second and sub-10ms block times. Its architecture separates sequencers, executors, and verifiers to maximize hardware efficiency and uses an in-memory state structure called SALT (Small Authentication Large Trie) to eliminate disk I/O during execution.

Founded by Shuyao Kong and Namik Muduroglu. MegaETH Labs leads protocol development; the network is intended to be operated by independent sequencers, executors, and verifiers.

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MegaETH

# MegaETH Supply-side fees Methodology

## 1. Overview

Supply-side fees measures the share of transaction fees that is distributed to service providers, such as validators or sequencers, on MegaETH. This metric is used to evaluate the economic incentives provided to infrastructure operators who secure and maintain the network. On MegaETH, the sequencer is operated at cost, meaning no payouts are distributed to validators or sequencers. Consequently, the supply-side share of fees is set to zero, reflecting that no portion of transaction fees is distributed to infrastructure operators.

## 2. Data sources

- **None**: This metric is set to a constant value and no blockchain events are consumed

## 3. Step-by-step calculation

### Component A: Supply-side fee allocation

- **Purpose**: Assign the portion of transaction fees distributed to network operators
- **Logic**: A constant value of zero is applied to the supply-side fees metric. This is determined by the operational model of MegaETH, where the sequencer is operated at cost and no validator or sequencer payouts are distributed from the collected transaction fees.

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

Portion of fees distributed to service providers or supply-side participants.

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Supply-side fees

Supply-side fees

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