Tempo is a Layer 1 blockchain purpose-built for global payments, developed in partnership with leading fintechs and Fortune 500 companies and incubated by Stripe and Paradigm. It delivers high-throughput, low-cost global transactions with sub-second finality, predictable fees, and native stablecoin support.

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Blockchains (L1)

Tempo

# Tempo Supply-side fees Methodology

## 1. Overview

Supply-side fees measures the total value of transaction fees generated on Tempo that is distributed to network validators. This metric represents the primary incentive for service providers to maintain and secure the network infrastructure. Because Tempo does not implement a fee-burning mechanism, the entirety of the user-paid fees is allocated to the supply side as compensation for block production and validation services.

## 2. Data sources

- **Blockchain events**: Transactions from the Tempo blockchain
- **External data**: Asset metadata for fee-paying assets

## 3. Step-by-step calculation

### Component A: Transaction fee extraction

- **Purpose**: Capture the total cost paid by users for standard transaction execution
- **Logic**: Successful transactions are parsed from the Tempo blockchain. For standard transactions, the total fee is calculated by multiplying the gas used by the effective gas price. Since Tempo fees are natively denominated in attodollars (10^-18 USD), the resulting values are normalized by decimal precision to arrive at a USD value.
- **Key fields**: `receipt_gas_used` (gas consumption), `receipt_effective_gas_price` (price per unit of gas)

### Component B: Multi-Payment Plan (MPP) fee allocation

- **Purpose**: Attribute fees correctly for batch-style transactions
- **Logic**: Type 118 transactions, which represent Multi-Payment Plans, are processed by unnesting the internal calls array. The total gas used for the transaction is divided evenly across all calls within the array to ensure accurate attribution to the respective destination addresses. Fees for each individual call are then calculated using the effective gas price and normalized by decimal precision.
- **Key fields**: `calls` array (internal transaction destinations), `receipt_gas_used` (total gas consumption)

### Component C: Supply-side fee aggregation

- **Purpose**: Sum all fee components into a final daily metric
- **Logic**: Total fees from both standard and MPP transactions are aggregated by day. Because the protocol does not retain or burn any portion of the base fee or priority fee, 100% of the calculated fee amount is attributed to supply-side fees. Values are summed using UTC day boundaries to provide a daily total.
- **Key fields**: `fee_amount` (calculated USD value)

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

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

Tempo

Supply-side fees

Supply-side fees

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