# Seamless Leverage Tokens Capital deployed Methodology

## 1. Overview

Capital deployed measures the value of user assets allocated into leverage strategies within Seamless Leverage Tokens. This metric represents the total collateral actively utilized by the protocol’s integrated liquidity markets to generate yield and leverage for participants. Since these assets are deployed specifically to earn returns, Capital deployed serves as a primary indicator of the product's scale and its capacity for revenue generation.

## 2. Data sources

- **Blockchain events**: State data updates from Seamless Leverage Tokens contracts, covering Ethereum and Base
- **External data**: End-of-day price feeds and asset metadata

## 3. Step-by-step calculation

### Component A: Seamless Leverage Tokens state extraction

- **Purpose**: Extract the raw value of assets held within leverage strategies.
- **Logic**: State data is parsed from Seamless Leverage Tokens contracts to identify the collateral value (specifically the value of collateral held in the debt asset). This value is extracted from raw contract state arrays. Specific token addresses are mapped to their underlying asset equivalents to ensure proper valuation for tokens that serve as internal accounting wrappers.
- **Key fields**: `current_collateral` (amount), `token_address` (asset identification)

### Component B: Normalization and USD conversion

- **Purpose**: Standardize capital values into USD for cross-chain and cross-asset comparison.
- **Logic**: Raw collateral amounts are normalized by decimal precision according to asset metadata. These normalized amounts are then multiplied by end-of-day price feeds corresponding to the specific underlying assets.
- **Key fields**: `amount`, `price_usd`, `decimals`

### Component C: Aggregation and forward-filling

- **Purpose**: Generate a continuous daily record of deployed capital.
- **Logic**: USD-denominated values are aggregated by day and chain. Because the underlying data represents a point-in-time state rather than a delta, a forward-filling strategy is applied to the daily time series. This ensures that for days without an explicit state update, the last known collateral value is maintained to accurately reflect the continuous presence of capital within the protocol.
- **Key fields**: `timestamp`, `chain_id`, `product_id`

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

Value of capital allocated into investments by an asset manager.

Capital deployed

Lending

Seamless Leverage Tokens

Capital deployed

Capital deployed

Chain breakdown