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

Venus is a non-custodial lending protocol built on BNB chain. Venus was founded by Joselito Lizarondo and launched in 2020.

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

governance

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Lending

Venus

Venus | Data breakdown

# Venus Token incentives Methodology

## 1. Overview

Venus token incentives measures the daily USD value of XVS tokens distributed as rewards to users of the Venus lending protocol. This metric tracks incentive payments across four blockchains (BSC, Ethereum, Arbitrum, and zkSync Era) by monitoring token transfers from Venus protocol reward distribution contracts. The metric answers the business question: "How much value is Venus spending daily on user incentives to drive protocol adoption?" The calculation aggregates XVS token distributions from official reward contracts, converts amounts to USD, and presents the data as daily time series values.

## 2. Data sources

The metric relies on the following raw data sources:

- **Token transfer events**: Parsed `Transfer` events from BSC, Ethereum, Arbitrum, and zkSync Era blockchains, specifically filtering transfers from Venus protocol reward distribution contracts
- **Venus protocol contracts**: Reward distribution contracts including XVSDistributer, XVSStore, XVSRewardsDistributerCore, and related contracts on each supported chain
- **XVS token contracts**: The official XVS reward token contract addresses on each blockchain (different address per chain)
- **End-of-day price feeds**: Token price data for converting XVS token amounts to USD values
- **Token metadata**: Decimal precision information for proper token amount normalization
- **Transaction data**: Block timestamps, transaction hashes, and log indices for event identification and deduplication

## 3. Step-by-step calculation

### Component A: Raw token transfer extraction
- **Purpose**: Identifies XVS token distributions from Venus reward contracts across all supported chains
- **Logic**: For each blockchain (BSC, Ethereum, Arbitrum, zkSync Era), the system filters token transfer events to capture only transfers originating from official Venus reward distribution contracts. Each chain uses different contract addresses: BSC uses XVSDistributer contract, Ethereum uses multiple distributor contracts for different pools (Core, Curve, LST), Arbitrum and zkSync Era use XVSRewardsDistributerCore and XVSStore contracts. The filtering ensures only legitimate reward distributions are captured by matching the `from_address` field against known reward contract addresses and the `token_address` field against the official XVS token address for each chain.
- **Key fields**: The extraction captures `block_timestamp` for timing, `transaction_hash` and `log_index` for uniqueness, `from_address` for source validation, `to_address` for recipient identification, `token_address` for token validation, and `value` for the transferred amount.

### Component B: Data exclusion and quality controls  
- **Purpose**: Prevents double counting and excludes invalid or problematic transactions
- **Logic**: The system applies chain-specific exclusion rules to maintain data quality. On BSC, transfers to the XVSStore contract are excluded to prevent double counting of internal protocol movements. Additionally, three specific transaction hashes are excluded on BSC: an internal transaction, an XVS clawback transaction, and an exploiter claim transaction. These exclusions ensure the metric only captures genuine user incentive distributions rather than internal protocol operations or exceptional events.
- **Key fields**: The exclusion logic evaluates `to_address` against XVSStore contract addresses and `transaction_hash` against hardcoded problematic transaction identifiers.

### Component C: Multi-chain aggregation and standardization
- **Purpose**: Combines data across all chains into a unified dataset with consistent formatting
- **Logic**: Token transfer data from all four blockchains is combined using union operations, with each chain's data tagged with a standardized chain identifier (bsc, ethereum, arbitrum, zksyncera). All records are assigned version 'v1' and the protocol is classified under the 'Lending' business line. The system removes duplicates using distinct operations and casts the transfer `value` to bignumeric for precision handling. Block timestamps are truncated to daily boundaries to enable consistent time series aggregation.
- **Key fields**: The standardized output includes `timestamp` (daily truncated), `chain_id`, `version`, `token_address`, and `amount` (the cleaned transfer value).

### Final aggregation
- **Combining components**: The daily aggregated token transfer amounts are grouped by timestamp, chain, and token address, with amounts summed where multiple transfers occur on the same day for the same token.
- **Currency conversion**: Token amounts are converted to USD using the convert_to_usd_and_correct_decimals macro, which applies token decimal corrections (adjusting for 18-decimal XVS tokens) and multiplies by end-of-day USD prices for each token.
- **Time aggregation**: Daily boundaries are established by truncating block timestamps to day precision, ensuring consistent time series data regardless of transaction timing within each day.
- **Final calculation**: The final metric value represents the total USD value of XVS tokens distributed as incentives on each day, calculated by summing all reward transfers (after exclusions) multiplied by the token's USD price and adjusted for decimal precision. The finalize_metric_token_incentives macro applies final data validation, ensures schema compliance, and fills any gaps in the time series with zero values to maintain complete daily coverage.

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

Value of native tokens distributed as incentives.

VenusXVS

Token incentives

Token incentives

Competitive landscape

Chain breakdown