Creators mint & users sell NFTs on Rarible. Creators and users receive payments from sales & creators receive royalties from secondary sales.

Rarible is a non-custodial NFT marketplace protocol built on Ethereum. Rarible was founded by Alexander Salnikov and launched in 2020.

RARI tokenholders own and govern the protocol. They currently take all of the total transaction fees paid by traders (revenue). Rarible's investors include Coinbase Ventures, CoinFund, ParaFi Capital, etc.

governance

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NFT marketplaces

Rarible

# Rarible Expenses Methodology

## 1. Overview

The Rarible expenses metric measures the total value of token incentives distributed by the Rarible protocol to users through their mining programs. This metric treats all token incentives as protocol expenses, providing insight into the cost of user acquisition and retention through reward mechanisms. The calculation aggregates RARI token distributions from two generations of Rarible's mining contracts and converts them to USD values.

## 2. Data sources

- **Blockchain events**: Parsed Ethereum `Claim` events from RariMineV2 contracts containing token distribution amounts
- **Transaction data**: Ethereum transaction traces from RariMineV3 `claim` function calls with balance change information  
- **External data**: End-of-day price feeds for RARI token USD conversion and token metadata for decimal precision handling
- **Smart contracts**: Two versions of Rarible mining contracts that distribute RARI token rewards to users

## 3. Step-by-step calculation

### Component A: Token incentive fact extraction
- **Purpose**: Extracts all RARI token incentive claims from Rarible's mining programs across two contract versions
- **Logic**: Combines data from two sources - RariMineV2 `Claim` events and RariMineV3 `claim` function traces. For RariMineV2, extracts successful claim events with the distributed token `value`. For RariMineV3, extracts successful function calls (where `status` is true) with balance change amounts from the `_balance.value` field. Both sources use the hardcoded RARI token address `0xfca59cd816ab1ead66534d82bc21e7515ce441cf`
- **Key fields**: `block_timestamp` for timing, `transaction_hash` for deduplication, `amount` containing raw token values, `component` identifying the mining version (Mine V2 vs Mine V3), and `chain` set to ethereum

### Component B: Daily aggregation and USD conversion  
- **Purpose**: Aggregates incentive claims by day and converts raw token amounts to standardized USD values
- **Logic**: Groups all incentive claims by truncating `block_timestamp` to daily boundaries. Applies decimal correction to handle RARI token's precision and converts amounts to USD using end-of-day price feeds. Assigns business classification metadata including business line as NFT marketplace, market sector as nfts, and product ID as raribleexchange
- **Key fields**: `timestamp` as daily boundaries, `token_incentives` containing corrected USD amounts, and various classification fields for business reporting

### Component C: Metric finalization and gap filling
- **Purpose**: Applies standardized metric schema, validates data integrity, and ensures continuous time series
- **Logic**: Uses finalization macro to validate business IDs, apply consistent schema structure, and implement zero-fill strategy for missing data points. Filters results based on chain availability to ensure only supported blockchain data is included
- **Key fields**: Final schema includes all required metric dimensions with validated IDs and gap-filled time series

### Final aggregation
- **Combining components**: Token incentives flow directly from the finalized component without additional aggregation, since daily totals are already calculated in the intermediate steps
- **Currency conversion**: USD conversion happens during the aggregation phase using end-of-day RARI token prices with proper decimal correction for token precision
- **Time aggregation**: Daily boundaries are established by truncating blockchain timestamps to day level, ensuring consistent daily reporting periods
- **Final calculation**: The final expenses metric equals the sum of all daily RARI token incentives distributed through both mining programs, converted to USD and validated through the finalization process

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

Total project operating and incentive expenses.

RaribleRARI

Expenses

Expenses

Competitive landscape

Chain breakdown