Liquidity providers deposit funds into SolidLizard and stake their LP tokens to receive SLIZ tokens (token incentives).

SolidLizard is a non-custodial exchange protocol built on Arbitrum. SolidLizard was founded by an anonymous team and launched in 2023.

SLIZ tokenholders own and govern the protocol. They vote for pools where they wish to receive trading fees and external bribes from, while pools receive SLIZ emissions in respect to their share of votes.

twitter

discord

etherscan

website

Exchanges (DEX)

SolidLizard

# SolidLizard Expenses Methodology

## 1. Overview

SolidLizard expenses represent the total USD value of token incentives distributed by the protocol to liquidity providers. These incentives, paid in SLIZ tokens through gauge contracts, are treated as operating expenses of the protocol. The metric captures the daily cost of SolidLizard's liquidity mining program on Arbitrum, calculated by aggregating all reward claims and converting them to USD values.

## 2. Data sources

The calculation uses several types of blockchain data and external feeds:
- **Gauge reward events**: Parsed `ClaimRewards` events from SolidLizard's gauge contracts on Arbitrum, containing the amount of SLIZ tokens claimed by users
- **Gauge creation events**: `GaugeCreated` events from the Voter contract that establish the mapping between gauge addresses and their underlying liquidity pool addresses
- **Pool creation events**: `PairCreated` events from the PairFactory contract that contain token pair information and pool metadata
- **Token metadata**: Token information including decimals, symbols, and addresses for proper amount calculation and display
- **End-of-day price feeds**: Daily SLIZ token price data for USD conversion

## 3. Step-by-step calculation

### Component A: Raw incentive claims
- **Purpose**: Extract all SLIZ token reward claims from gauge contracts
- **Logic**: Parse `ClaimRewards` events from all SolidLizard gauge contracts on Arbitrum. Each event represents a user claiming their accumulated SLIZ rewards from providing liquidity. Extract the `amount` field (raw token amount), `address` field (gauge contract address), block timestamp, transaction hash, and log index for each claim event. Filter events to only include the specific SLIZ token address (`0x463913d3a3d3d291667d53b8325c598eb88d3b0e`) to ensure only protocol-issued incentives are captured.
- **Key fields**: `amount` (raw SLIZ token amount claimed), `address` (gauge contract address), `block_timestamp` (when the claim occurred)

### Component B: Gauge to pool mapping
- **Purpose**: Map gauge addresses to their underlying liquidity pool addresses
- **Logic**: Use `GaugeCreated` events from the Voter contract to establish the relationship between gauge contracts and the pools they incentivize. Each gauge is created for a specific liquidity pool, and this mapping is essential for attributing incentive costs to specific trading pairs. Extract the `gauge` address and corresponding `pool` address from each creation event.
- **Key fields**: `gauge` (incentive distribution contract), `pool` (underlying liquidity pool address)

### Component C: Pool metadata enrichment
- **Purpose**: Add token pair information and metadata to pools
- **Logic**: Enrich pool addresses with their underlying token pair data using `PairCreated` events from the PairFactory contract. Extract `token0_address`, `token1_address`, and corresponding token decimals and symbols from the tokens dimension table. Create readable pool names by concatenating token symbols (e.g., "USDC-ETH"). This provides context for which trading pairs are receiving incentives.
- **Key fields**: `token0_address`, `token1_address`, `token0_decimals`, `token1_decimals`, `account_name` (formatted as "TOKEN0-TOKEN1")

### Component D: USD conversion and aggregation
- **Purpose**: Convert SLIZ token amounts to USD values and aggregate by day
- **Logic**: Apply decimal correction to convert raw blockchain integers to proper SLIZ token amounts using the token's decimal configuration. Join with end-of-day SLIZ price feeds to convert token amounts to USD values. Group all incentive payments by day using timestamp truncation to the day boundary. Sum the USD values of all claims that occurred on each day across all gauges and pools.
- **Key fields**: `token_incentives` (USD value of incentives), `timestamp` (daily boundary), `chain_id` ("arbitrum")

### Final aggregation
- **Combining components**: Join incentive claims with gauge-to-pool mappings and pool metadata to create complete records showing which pools received incentives and when. Sum all USD-converted incentive amounts by day to get total protocol expenses.
- **Currency conversion**: Convert SLIZ token amounts to USD using decimal correction (to handle blockchain integer representation) followed by multiplication with end-of-day SLIZ token prices
- **Time aggregation**: Truncate all timestamps to day boundaries and aggregate incentive payments within each 24-hour period
- **Final calculation**: The daily expenses value equals the sum of all USD-converted SLIZ token incentive claims that occurred on that day across all SolidLizard gauges on Arbitrum

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

Total project operating and incentive expenses.

SolidLizardSLIZ

Expenses

Expenses

Competitive landscape