# Paragon BTCD Fees Methodology

## 1. Overview

This page covers the BTCD market (`para:BTCD`) on Paragon, one of the markets deployed under the `para` namespace on Hyperliquid HyperCore. The calculation is identical across all Paragon markets; the figures on this page are scoped to the BTCD market.

Fees measures the total value paid by users to trade on Paragon products, such as `para:TOTAL2` and `para:OTHERS`. These fees are generated through perpetual swap trading activity on markets deployed via the Hyperliquid HIP-3 framework. This metric reflects the total economic value paid by traders before any revenue-sharing or protocol distributions occur.

## 2. Data sources

- **Blockchain events**: `node_fills` records from Hyperliquid HyperCore
- **Fee token filter**: `fee_token = 'USDC'` (the sole quote and collateral asset for HIP-3 perps today)

## 3. Step-by-step calculation

### Component A: Paragon market identification

- **Purpose**: Filter HyperCore fills to Paragon-deployed markets only
- **Logic**: Fills are filtered by the `para:` prefix on the `coin` field, the permanent on-chain namespace assigned to Paragon at HIP-3 deployment. This isolates the 4 registered markets without depending on any off-chain registry.

### Component B: Gross fee aggregation

- **Purpose**: Sum user-paid fees per market per day in USD
- **Logic**: The user-paid fee for each fill is taken directly from the `fee` field of `node_fills`. The chain records the value as recorded on-chain, so no manual adjustment is required. Fills are restricted to `fee_token = 'USDC'`; values are treated as USD-equivalent without price conversion. Sums are computed per `(timestamp, market_id, token_symbol)` in the breakdown, then aggregated to the daily project metric.

### Component C: Daily normalization

- **Purpose**: Emit a single daily-grain row with zero-fill for days without trading
- **Logic**: The metric is sourced from `paragonperps_breakdowns_fees` so per-market values and the daily total stay in sync by construction. `fill_zeros` populates any day in the date spine that has no fills, ensuring continuous daily coverage from the launch date forward.

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

Total value users pay to use a protocol (gross fees, user-paid fees).

Fees

Derivative markets

Paragon earns a deployer share of trading fees on the perpetual markets it has deployed under Hyperliquid's HIP-3 framework. Markets execute on Hyperliquid's HyperCore L1 order book; it does not operate its own matching engine. The default HIP-3 fee split allocates 50% of each user-paid fee to Hyperliquid and 50% to the deployer; deployerFeeScale is 1.0, so the standard split applies.

Paragon offers USDC-settled perpetual contracts on crypto index and basket products (BTC dominance, TOTAL2, OTHERS) and AVGO. All 4 markets are deployed under the HIP-3 `para` namespace and execute on Hyperliquid's HyperCore order book.

Paragon is a HIP-3 (builder-deployed perpetuals) deployer on Hyperliquid, deployed by wallet 0x8888888c43cbb7e1c4132542e46831bffd866ed3. Paragon is operated as a private company; no token has been issued.

BTCD PerpetualBTCD

Fees

Fees