# Venus Flux Fees Methodology

## 1. Overview

Fees measure the total value paid by users to utilize Venus Flux lending and liquidity services. Included in this metric are interest paid by borrowers, a portion of seized collateral from liquidations, and revenue generated through the integrated Instadapp Fluid liquidity layer. Represented by these fees is the economic value generated by the protocol's lending markets across multiple chains.

## 2. Data sources

- **Blockchain events**: `AccrueInterest`, `LiquidateBorrow`, and `MarketAdded` events from `vBNB`, `VBep20Delegate`, `VToken`, and `PoolRegistry` contracts, alongside `LogCollectRevenue` events and state snapshots from `FluidLiquidity` and liquidity resolver contracts, covering BNB Chain, Ethereum, Arbitrum, Base, and 4 other chains
- **External data**: End-of-day price feeds for various cryptoassets

## 3. Step-by-step calculation

### Component A: Interest accrual parsing

- **Purpose**: Captures the interest paid by borrowers in the lending markets
- **Logic**: `AccrueInterest` events are parsed from `vBNB`, `VBep20Delegate`, and `VToken` contracts across all supported chains. The accumulated interest amount is extracted for each market and associated with the corresponding underlying asset.
- **Key fields**: `interestAccumulated` (accumulated interest amount), `lending_market_address` (market identification)

### Component B: Liquidation fee extraction

- **Purpose**: Captures the protocol's share of fees from liquidation events
- **Logic**: `LiquidateBorrow` events are parsed from `vBNB`, `VBep20Delegate`, and `VToken` contracts. The amount of seized collateral is extracted and adjusted using the market's exchange rate. A 10% fee factor is applied to the seized value to determine the liquidation fee. Transactions identified as part of known protocol exploits are excluded from the calculation.
- **Key fields**: `seizeTokens` (collateral seized), `exchange_rate` (market-specific exchange rate)

### Component C: Fluid liquidity layer revenue tracking

- **Purpose**: Captures revenue generated through the Instadapp Fluid liquidity integration on BNB Chain
- **Logic**: Revenue is determined by calculating the daily change in uncollected revenue values retrieved from liquidity resolver state snapshots. This delta is combined with realized revenue collections parsed from `LogCollectRevenue` events emitted by `FluidLiquidity` contracts.
- **Key fields**: `revenue` (uncollected state value), `amount` (collected revenue amount)

### Component D: Normalization and USD conversion

- **Purpose**: Normalizes asset quantities and converts values to USD
- **Logic**: All collected fee amounts are normalized by their respective decimal precision. These normalized values are then multiplied by end-of-day price feeds for the specific assets. Data is aggregated by day using UTC boundaries.
- **Key fields**: `asset_address_decimals` (precision factor), `price_usd` (asset price)

*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

Lending

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).

Venus Flux

Fees

Fees

Chain breakdown