Stacks miners batch users' transactions and receive fees from users (supply-side fees). Miners submit transactions to Bitcoin, paying a share of the transaction fees to Bitcoin miners.

Stacks is an smart contract platform for creating decentralized applications on Bitcoin (a blockchain). Stacks was founded by Muneeb Ali and Ryan Shea, and launched in 2021.

STX tokenholders own and govern the protocol. They currently do not take a cut of the total transaction fees paid by users (revenue). Stacks' investors include IOSG Ventures, The Spartan Group, Hashkey Exchange, etc.

github

twitter

discord

website

Blockchains (L2)

Stacks

# Stacks Supply-side fees Methodology

## 1. Overview

Supply-side fees represent the total USD value of transaction fees paid by users to Stacks miners for processing transactions. On the Stacks network, 100% of transaction fees are paid directly to miners who win block production rights by spending BTC through the Proof of Transfer (PoX) consensus mechanism. This metric is identical to total fees since all fees accrue to the supply side (miners). System transactions (coinbase and tenure_change) are excluded as they are not user-initiated. The calculation involves aggregating transaction fees from all Stacks transactions and converting them to USD using daily STX price feeds.

## 2. Data sources

- **Stacks blockchain transaction data**: Transaction records containing timestamps, transaction types, fee amounts in micro-STX, and sender addresses
- **CoinGecko price data**: Daily STX/USD price feeds using the CoinGecko identifier `blockstack` for currency conversion

## 3. Step-by-step calculation

### Component A: Stacks transaction fee extraction
- **Purpose**: Extract and normalize transaction fee data from Stacks transactions
- **Logic**: Stacks transaction data is processed to extract key fields including block timestamps, transaction hashes, and fee amounts. System transactions (coinbase and tenure_change types) are filtered out. Fee amounts are converted from micro-STX to STX by dividing by 10^6. This ensures fee amounts are in standard STX denomination for subsequent calculations.
- **Key fields**: `block_timestamp` for timing, `transaction_hash` for identification, `fee` representing the transaction fee amount

### Component B: Price data preparation
- **Purpose**: Create daily STX/USD price dataset
- **Logic**: Price data is sourced from CoinGecko using the `blockstack` identifier. Daily prices are standardized with daily timestamps and consistent price formatting for joining with transaction data.
- **Key fields**: `timestamp` truncated to daily boundaries, `price` representing USD value per STX, `timestamp_grain` indicating daily aggregation

### Final aggregation
- **Combining components**: Fee amounts are summed across all transactions within each day to produce total daily fee revenue in USD
- **Currency conversion**: STX-to-USD conversion uses daily pricing matched to the transaction's date, ensuring consistent daily rates
- **Time aggregation**: Block timestamps are truncated to daily boundaries, and all fees within each calendar day are aggregated
- **Final calculation**: The final metric represents the total USD value of transaction fees paid to Stacks miners each day, calculated as the sum of (transaction fee amount in STX x daily STX price) across all user transactions in that day

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

Portion of fees distributed to service providers or supply-side participants.

StacksSTX

Supply-side fees

Supply-side fees

Competitive landscape