# Boros Fees Methodology

## 1. Overview

Fees measures the total value paid by users to interact with Boros, the margin trading and interest rate engine of Pendle. These fees are collected across a variety of activities, including automated market maker (AMM) swaps, over-the-counter (OTC) trades, limit order executions, settlement payments, and liquidations. The metric provides a comprehensive view of the economic value generated by the Boros product suite.

## 2. Data sources

- **Blockchain events**: `PaymentFromSettlement`, `Liquidate`, `MarketOrdersFilled`, and `OtcSwap` events from `BorosMarket` contracts, plus `SwapWithAmm` and `SingleOrderExecuted` events from `BorosRouter` contracts, covering Arbitrum
- **External data**: End-of-day price feeds for underlying assets

## 3. Step-by-step calculation

### Component A: Boros market fee extraction

- **Purpose**: Captures fees generated from direct interactions with Boros market contracts.
- **Logic**: Market contract addresses and associated asset identifiers are mapped using `MarketCreated` events from `BorosMarketFactory` contracts and `TokenAdded` events from `BorosMarketHubEntry` contracts. Fee amounts are then parsed from `PaymentFromSettlement`, `Liquidate`, `MarketOrdersFilled`, and `OtcSwap` events emitted by these identified `BorosMarket` contracts. The specific fee fields representing settlement fees, liquidation penalties, total market order fees, and OTC swap fees are extracted for each transaction. To maintain data integrity, specific transaction hashes associated with configuration updates are excluded.
- **Key fields**: `fee_amount`, `liqFee`, `totalFees`, `otcFee`

### Component B: Boros router fee extraction

- **Purpose**: Captures fees from trades and orders facilitated through the Boros router.
- **Logic**: Fees are parsed from `SwapWithAmm` and `SingleOrderExecuted` events emitted by `BorosRouter` contracts. These events identify fees accrued during AMM-based swaps and the execution of individual taker orders. The OTC fee and taker fee values are extracted and mapped to the corresponding asset using the market identifier provided in the event data.
- **Key fields**: `otcFee`, `takerOtcFee`

### Component C: Normalization and USD conversion

- **Purpose**: Aggregates all Boros fee components and normalizes them into a standard currency.
- **Logic**: All extracted fee amounts are aggregated by asset and day. The raw values are normalized by decimal precision and multiplied by end-of-day price feeds to determine the USD value. Daily totals are calculated using UTC day boundaries and aggregated to provide the final metric for the Boros product.

*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

Exchanges (DEX)

Users deposit yield-bearing tokens into Pendle Markets. The yield-bearing token is wrapped and split up into its principal and yield-bearing components, which allows users to execute yield-trading strategies (i.e. earn fixed yield, long yield). Traders pay a swap fee whenever yield-bearing tokens are swapped with its wrapped, principal, or yield-bearing component tokens.

Pendle is a permissionless yield-trading protocol built on Ethereum, HyperEVM, Arbitrum, BNB Chain, Optimism, Base, Berachain, Sonic, Plasma, Monad, X Layer, and Robinhood Chain. Pendle was founded by TN Lee and was launched in 2021.

PENDLE tokenholders own and govern the protocol. They currently take a cut of the total trading fees paid by traders (revenue).

Boros

Fees

Fees

Chain breakdown