# Prime Staking Token incentives Methodology

## 1. Overview

Token incentives for Prime Staking measures the value of rewards distributed to users participating in the protocol's staking ecosystem. These rewards are paid out in native assets to compensate supply-side participants for securing the platform and providing liquidity. The metric serves as an indicator of the protocol's expenditure on user acquisition and retention, analogous to stock-based compensation in traditional finance.

## 2. Data sources

- **Blockchain events**: `RewardPaid` events from `PrimeStakedXDC` contracts, covering the XDC Network
- **External data**: End-of-day price feeds for the reward asset

## 3. Step-by-step calculation

### Component A: Prime Staking reward extraction

- **Purpose**: Identifies and captures individual reward distributions to stakers.
- **Logic**: `RewardPaid` events are parsed from `PrimeStakedXDC` contracts. The raw reward quantity is extracted from the `reward` field for every unique transaction on the XDC Network.
- **Key fields**: `reward` (reward amount), `block_timestamp` (event timing)

### Component B: USD conversion and normalization

- **Purpose**: Converts raw reward amounts into a standardized USD value.
- **Logic**: Reward amounts are normalized by decimal precision. These normalized quantities are multiplied by end-of-day price feeds for the corresponding asset to determine the total USD value of the incentives at the time of distribution.
- **Key fields**: `amount` (normalized quantities), `price_usd` (valuation)

### Component C: Final aggregation

- **Purpose**: Consolidates reward data into a continuous daily time series.
- **Logic**: The USD-denominated incentive values are summed by day. Data is organized according to UTC day boundaries. A zero-filling strategy is applied to ensure the metric remains continuous across the historical time series for Prime Staking.

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

Value of native tokens distributed as incentives.

Token incentives

Liquid staking

Prime Staking

Token incentives

Token incentives

Chain breakdown