# Spark Curation Fees Methodology

## 1. Overview

Fees for Spark Curation are defined as the performance fees generated from outside deposits in the Morpho vaults curated by Spark. These fees are utilized to represent the economic value generated by curation services. Fees are reported daily in USD, and performance fees on Spark's own Spark Liquidity Layer deposits are excluded so that self-payment double-counting is avoided.

## 2. Data sources

- **Blockchain events**: `CreateMetaMorpho` events from `MetaMorphoVaultFactory` contracts and `CreateVaultV2` events from `VaultV2Factory` contracts, covering Ethereum and Base
- **Reported data**: Daily curator fee reports containing performance fees, asset symbols, and vault allocations

## 3. Step-by-step calculation

### Component A: Vault creation and asset mapping

- **Purpose**: Curated Morpho vaults are mapped to their underlying assets.
- **Logic**: `CreateMetaMorpho` events from `MetaMorphoVaultFactory` contracts (for V1.0 and V1.1 vaults) and `CreateVaultV2` events from `VaultV2Factory` contracts (for V2.0 vaults) are parsed on Ethereum and Base. The vault address, owner address, and underlying asset address are extracted from these events so that a mapping is established between each curated vault and its underlying asset.
- **Key fields**: `vault_address`, `underlying_asset_address`, `chain_id`

### Component B: Curator fee extraction

- **Purpose**: Daily performance fees are extracted for curated vaults.
- **Logic**: Daily curator fee records are retrieved from reported snapshots. The performance fees generated from outside deposits are extracted, and fees associated with Spark's own Spark Liquidity Layer deposits are excluded. The latest snapshot of the daily accounting data is selected so that historical restatements are captured.
- **Key fields**: `curator_fees_usd`, `vault_address`, `chain_id`

### Component C: Asset mapping and final aggregation

- **Purpose**: Curator fees are combined with asset metadata and aggregated to daily USD values.
- **Logic**: Daily curator fees are joined with the vault creation mapping so that each fee record is associated with its underlying asset address. Because the reported curator fees are already denominated in USD, the price conversion step is bypassed. The fees are aggregated by day, chain, and product, and missing days are zero-filled.
- **Key fields**: `fees`, `timestamp`, `chain_id`, `product_id`

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

Total value users pay to use a protocol (gross fees, user-paid fees).

Fees

Risk curators

Lenders deposit funds into Spark and receive interest payments from borrowers (supply-side fees).

Spark is a non-custodial lending protocol built on Ethereum. Spark’s development team Phoenix Labs was founded in early 2023.

SPK tokenholders own and govern the protocol. They currently take a cut of the total interest paid by borrowers (revenue).

Spark Curation

Fees

Fees

Chain breakdown