# Uniswap Flash loan volume Methodology

## 1. Overview

Flash loan volume is defined as the total USD value of assets borrowed and repaid within a single transaction through Uniswap V3. These transactions are executed without collateral requirements, provided the borrowed liquidity is returned within the same block. This metric is utilized to analyze arbitrage-based activity and capital efficiency, which directly correlate with fee and revenue generation for the protocol.

## 2. Data sources

- **Blockchain events**: `Flash` events from `Pool` contracts, covering Ethereum, Arbitrum, Optimism, Base, and 10 other chains
- **External data**: End-of-day price feeds and asset metadata

## 3. Step-by-step calculation

### Component A: Flash loan event extraction

- **Purpose**: Raw flash loan transactions are identified and extracted from Uniswap V3 pools.
- **Logic**: `Flash` events from `Pool` contracts are parsed across all supported chains. For each event, the transaction hash, pool address, and raw borrowed amounts for both assets in the pool (represented as asset 0 and asset 1) are extracted. Transactions associated with denylisted trading pairs—identified by specific pool addresses with limited price feed support—are excluded from the dataset. Additionally, transaction sender addresses are joined with transaction records to identify the initiating user address.
- **Key fields**: `address` (pool address), `amount0` (borrowed amount of asset 0), `amount1` (borrowed amount of asset 1), `transaction_hash`, `sender` (initiator address)

### Component B: Pool metadata integration and normalization

- **Purpose**: Flash loan events are mapped to pool configurations and raw asset amounts are normalized.
- **Logic**: Flash loan events are joined with trading pair metadata using the pool address and chain. Contract addresses, symbols, and decimal precisions for both assets in the pool are retrieved from this metadata. Raw borrowed amounts are then normalized by dividing each amount by its respective asset's decimal precision.
- **Key fields**: `token0_decimals`, `token1_decimals`, `token0_address`, `token1_address`

### Component C: USD valuation and daily aggregation

- **Purpose**: Normalized asset amounts are converted to USD and volumes are aggregated.
- **Logic**: Normalized asset amounts are multiplied by their respective end-of-day USD prices, which are retrieved from external price feeds based on the asset address, chain, and transaction date. The USD values of both borrowed assets are summed to calculate the total flash loan volume per transaction. These values are then aggregated on a daily basis using UTC day boundaries. Finally, a chain availability filter is applied to exclude specific chains, such as Blast, from the final output.
- **Key fields**: `price_usd`, `flash_loan_volume`, `timestamp`

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

Total value of assets borrowed and repaid within the same transaction.

Flash loan volume

Uniswap

Liquidity providers deposit funds into Uniswap and receive trading fees from traders (supply-side fees).

Uniswap is a non-custodial exchange protocol built on Ethereum. Uniswap was founded by Hayden Adams and launched in 2018.

UNI tokenholders own and govern the protocol. They do not currently take a cut of the total trading fees paid by traders (revenue). Uniswap's investors include Paradigm, a16z, USV, etc.

UniswapUNI

Flash loan volume

Flash loan volume

Competitive landscape

Chain breakdown