# Boros Revenue Methodology

## 1. Overview

The portion of fees generated by the Boros product that is retained by the Pendle protocol is measured by the Revenue metric. Earnings generated from interest rate trading, margin trading, and settlement activities within the Boros product are reflected by this metric. These fees are collected from various user interactions, including automated market maker (AMM) swaps, over-the-counter (OTC) swaps, limit order executions, liquidations, and settlement payments. The financial performance and protocol-level monetization of Pendle's interest rate trading infrastructure are assessed through the tracking of this metric.

## 2. Data sources

- **Blockchain events**: `MarketCreated` events from `BorosMarketFactory` contracts, `TokenAdded` events from `BorosMarketHubEntry` contracts, `PaymentFromSettlement`, `Liquidate`, `MarketOrdersFilled`, and `OtcSwap` events from `BorosMarket` contracts, and `SwapWithAmm` and `SingleOrderExecuted` events from `BorosRouter` contracts, covering Arbitrum
- **External data**: End-of-day price feeds for asset valuation

## 3. Step-by-step calculation

### Component A: Market mapping and dimension setup

- **Purpose**: Map Boros market contracts to their underlying assets.
- **Logic**: A mapping between each Boros market address and its corresponding underlying asset address is established by joining `MarketCreated` events from `BorosMarketFactory` contracts with `TokenAdded` events from `BorosMarketHubEntry` contracts using the token identifier.
- **Key fields**: `market_address`, `market_id`, `token_address`

### Component B: Fee extraction from Boros activities

- **Purpose**: Extract fee amounts from various Boros transaction events.
- **Logic**: Fee amounts are parsed from multiple event types across Boros contracts. Specifically, fees are extracted from the `fees` field in `PaymentFromSettlement` events, the `otcFee` field in `SwapWithAmm` events, the `liqFee` field in `Liquidate` events, the `totalFees` field in `MarketOrdersFilled` events, the `otcFee` field in `OtcSwap` events, and the `takerOtcFee` field in `SingleOrderExecuted` events. Specific transactions associated with automated market maker configuration updates are excluded from the over-the-counter swap fee extraction.
- **Key fields**: `block_timestamp`, `transaction_hash`, `fee_amount`, `token_address`

### Component C: Normalization and USD conversion

- **Purpose**: Normalize fee amounts and convert them to USD.
- **Logic**: The extracted fee amounts from all activities are aggregated by day, chain, and asset. The raw fee values are normalized by decimal precision and multiplied by end-of-day asset prices to determine the USD value of the fees.
- **Key fields**: `fee_amount`, `price_usd`

### Component D: Revenue aggregation

- **Purpose**: Aggregate the total revenue for the Boros product.
- **Logic**: Since 100% of the fees collected from Boros activities are retained by the protocol, the total revenue is calculated as the sum of all normalized USD fee amounts. The final daily revenue values are aggregated with UTC day boundaries.
- **Key fields**: `revenue`

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

fees * take_rate (illustrative — revenue is observed directly per project, not derived from take_rate)

Fee revenue retained after supply-side payouts. Before cost of revenue (e.g. L2 DA fees) and before operating expenses.

Revenue

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

Revenue

Revenue

Chain breakdown