# Whirlpools Total value locked Methodology

## 1. Overview

Total value locked (TVL) measures the total value of assets deposited into Whirlpools, Orca's concentrated liquidity product. This metric represents the liquidity available for trading within the Whirlpools program and serves as a leading indicator for the protocol's capacity to generate trading fees. TVL is calculated by aggregating the value of all tokens held in the base and quote vaults of every active Whirlpools pool.

## 2. Data sources

- **Blockchain events**: SPL token balance changes and decentralized exchange trade records from Solana
- **External data**: End-of-day price feeds and asset metadata

## 3. Step-by-step calculation

### Component A: Whirlpools vault identification

- **Purpose**: Identify the specific on-chain accounts used to store liquidity for Whirlpools.
- **Logic**: Base and quote vault account addresses are extracted from DEX trade records on Solana. These accounts are filtered by the Whirlpools program ID to ensure that only assets belonging to the concentrated liquidity product are captured. The resulting set of accounts defines the scope of the TVL calculation for this product.
- **Key fields**: `base_vault_address`, `quote_vault_address`, `pool_address`

### Component B: Token balance tracking

- **Purpose**: Capture the quantity of tokens held within the identified vaults on a daily basis.
- **Logic**: SPL token balance changes are monitored for all identified vault accounts. The post-transaction balance is recorded for each account to reflect the current holdings. For dates where no transaction occurs, balances are filled forward from the last known state to ensure a continuous daily time series for every vault and asset pair.
- **Key fields**: `post_balance`, `mint`, `token_account`

### Component C: Normalization and USD conversion

- **Purpose**: Transform raw on-chain balances into a standardized USD valuation.
- **Logic**: Daily balance snapshots are calculated by summing the token quantities across all vaults. These amounts are normalized by the decimal precision of each asset and multiplied by end-of-day price feeds. Assets are mapped using metadata to ensure accurate symbol and price association.

### Component D: Final aggregation

- **Purpose**: Produce the total daily TVL for the Whirlpools product.
- **Logic**: The USD-denominated values of all assets held in Whirlpools vaults are aggregated by day. A daily running total is maintained to reflect the aggregate value locked across the entire Whirlpools program. Values are represented with UTC day boundaries.

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

Total value locked (TVL)

Total value locked (TVL) — value deposited into the project's applications.

Total value locked

Exchanges (DEX)

Users are able to use the Orca protocol to transact with digital assets on a peer-to-peer or peer-to-protocol basis by trading against liquidity  pools, which are created and seeded by other users providing liquidity of a pair of tokens into such liquidity pools in exchange for a stake of the liquidity and trading fees generated by such pools.

Orca is a non-custodial automated market maker (AMM) protocol built on Solana. Orca was founded by Yutaro Mori and Grace Kwan and launched in 2021.

ORCA tokenholders govern the Orca protocol treasury, which receives a portion of the trading fees paid by users of the protocol.