# Native Relay Supply-side fees Methodology

## 1. Overview

The share of fees distributed to liquidity providers who supply assets to Native Relay is measured by supply-side fees. Total compensation earned by these service providers for facilitating liquidity across the protocol's deployed credit vaults is represented by this metric. Because the entire on-chain fee is distributed to liquidity providers by the protocol, supply-side fees are equivalent to total fees by construction rather than by subtraction. Economic incentives and returns available to liquidity providers within the Native Relay ecosystem are evaluated using this metric.

## 2. Data sources

- **Blockchain events**: `EpochUpdated` events from `CreditVault` contracts, covering Arbitrum, Base, BSC, Ethereum, and 3 other chains
- **External data**: end-of-day price feeds and asset metadata

## 3. Step-by-step calculation

### Component A: Funding fee extraction

- **Purpose**: Extraction of funding fees paid by market makers when an epoch is closed
- **Logic**: `EpochUpdated` events from `CreditVault` contracts are parsed. The `accruedFundingFees` array is unnested to access trader-specific records, and the nested `feeUpdates` array is further unnested to extract the `fundingFee` (representing the supply-side fee amount) and `reserveFee` (representing the protocol fee amount) for each asset. The extracted `fundingFee` values are aggregated to determine the raw supply-side fee amount per transaction.
- **Key fields**: `fundingFee` (supply-side fee amount), `token` (asset address), `address` (account address)

### Component B: Decimal normalization and USD conversion

- **Purpose**: Normalization of raw asset amounts and conversion to USD
- **Logic**: Raw supply-side fee amounts are normalized by the decimal precision of each respective asset using asset metadata. The normalized amounts are then multiplied by the corresponding end-of-day asset prices to calculate the USD value.
- **Key fields**: `fundingFee` (raw fee amount), `decimals` (asset decimal precision), `price_usd` (end-of-day asset price)

### Component C: Daily aggregation

- **Purpose**: Aggregation of the USD-denominated supply-side fees to a daily granularity
- **Logic**: The USD-denominated supply-side fees are summed by day, chain, and product. Daily boundaries are defined using UTC timestamps.

## What is excluded
The fee recorded on-chain is the funding fee paid by market makers for liquidity drawn from the vault, which is charged when the vault closes an epoch and distributed in full to liquidity providers. The trading fee is quoted directly into the rate at which an order fills, is not recorded on-chain, and is excluded from this metric. Additionally, a widget fee is charged on some routed orders and paid to a recipient set per order; this fee is excluded because it is not retained by the protocol.

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

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

Supply-side fees

Exchanges (DEX)

Native Relay streams Core prices to wallets and aggregators and routes their orders into Native, while Native Pro exposes the Core matching engine to institutions over direct, exchange-grade interfaces. Trades settle non-custodially through NativeRouter and CreditVault contracts deployed on each supported EVM chain. Native applies standard maker and taker fees on Native Core: 0% on stablecoin and softpeg markets, 0.1% taker and 0.02% maker on majors and RWAs, and 0.001% taker with 0% maker on selected markets. Integration partners routing through Native Relay negotiate a customized additional Relay fee, typically set at zero or minimal, on top of the standard maker and taker rates.

Native is a non-custodial trading infrastructure for on-chain spot markets that decouples pricing logic from asset settlement. Native Core is an on-chain sovereign state machine where price discovery and central limit order book matching are finalized, while Native Pool consists of distributed smart contracts on EVM chains that custody assets and enforce settlement. Rather than pricing trades through AMM pools, Native matches orders in its own engine and exports the resulting liquidity to integrating chains and distribution surfaces.

Native serves wallets, aggregators and intent platforms that route order flow into Native to source on-chain liquidity, institutions and professional market makers that integrate through Native Pro, and liquidity providers that supply the permissionless vaults used for settlement.

Native Relay

Supply-side fees

Supply-side fees

Chain breakdown