# Raydium Stable Swap Trading volume Methodology

## 1. Overview

Trading volume for Raydium Stable Swap measures the total value of assets exchanged through the protocol’s stablecoin-focused automated market maker. This metric serves as a key indicator of liquidity utilization and the protocol's capacity to generate trading fees from stable-pair swaps on the Solana blockchain. Trading volume is converted to USD using end-of-day price feeds to ensure consistency across different asset pairs.

## 2. Data sources

- **Blockchain events**: Trade instructions from the Raydium Stable Swap program on Solana
- **External data**: End-of-day price feeds for traded assets

## 3. Step-by-step calculation

### Component A: Raydium Stable Swap trade extraction

- **Purpose**: Identify and extract all swap activities executed through the Raydium Stable Swap program.
- **Logic**: Trade instructions are parsed from the Solana blockchain where the executing account or outer executing account matches the Raydium Stable Swap program. For each swap, the base asset amount, quote asset amount, and their respective mint addresses are captured. Transactions with null or empty values for amounts, mint addresses, or pool addresses are excluded to ensure data integrity.
- **Key fields**: `base_amount`, `quote_amount`, `base_mint_address`, `quote_mint_address`, and `pool_address`.

### Component B: Price normalization and USD conversion

- **Purpose**: Convert raw on-chain asset quantities into normalized USD values.
- **Logic**: Asset amounts are first normalized by their respective decimal precision as defined in asset metadata. These normalized amounts are then multiplied by end-of-day price feeds specifically for the Solana chain. Price data is aggregated at a daily grain using UTC day boundaries. Any assets appearing on a denylist are excluded from the calculation.
- **Key fields**: `price_usd`, `decimals`, and `token_address`.

### Component C: Trading volume valuation

- **Purpose**: Determine the final USD volume for each swap while preventing double-counting of the same trade.
- **Logic**: The lesser USD value between the two traded assets is selected as the trading volume to prevent double-counting and mitigate the impact of price volatility or illiquid asset pricing. The resulting values are aggregated by day, chain, and product.
- **Key fields**: `trading_volume`.

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

Total value of spot trades executed on the exchange.

Trading volume

Exchanges (DEX)