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

Zyberswap is a non-custodial exchange protocol built on Arbitrum. Zyberswap was founded by anonymous team and launched in 2023.

ZYB tokenholders own and govern the protocol. They currently take a cut of the total trading fees paid by traders (revenue).

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Zyberswap

# Zyberswap Token incentives Methodology

## 1. Overview

The Zyberswap token incentives metric measures the total daily USD value of ZYB tokens distributed as liquidity mining rewards to users on the Arbitrum network. This metric captures incentive payments from both Zyberswap v2 (via direct token transfers) and v3 (via farming contract rewards) to understand the protocol's token emission and user incentivization efforts. The calculation aggregates all ZYB token distributions from designated incentive contracts and converts them to USD values using end-of-day pricing.

## 2. Data sources

The calculation relies on these raw blockchain data sources:
- **Zyberswap v3 events**: Parsed `RewardClaimed` events from the EternalFarming contract on Arbitrum, capturing structured reward distributions
- **Arbitrum token transfers**: Token transfer events for the ZYB token, specifically filtering transfers from the ZyberChef contract
- **End-of-day price feeds**: Token price data for USD conversion of ZYB token amounts
- **Token metadata**: Decimal place information for proper token amount normalization

## 3. Step-by-step calculation

### Component A: v3 liquidity incentives extraction
- **Purpose**: Captures ZYB token rewards distributed through Zyberswap v3's EternalFarming mechanism
- **Logic**: Extracts `RewardClaimed` events from the EternalFarming contract (`0x40f5af7171b35963dba9cd9952d3f11f5e32dd30`) on Arbitrum. Filters events where the `rewardAddress` field matches the ZYB token contract address (`0x3b475f6f2f41853706afc9fa6a6b8c5df1a2724c`). For each qualifying event, captures the recipient address, reward amount from the `reward` field, block timestamp, and transaction details.
- **Key fields**: `address` (recipient), `reward` (ZYB token amount), `rewardAddress` (token being distributed), `block_timestamp`

### Component B: v2 liquidity incentives extraction  
- **Purpose**: Captures ZYB token rewards distributed through Zyberswap v2's direct transfer mechanism
- **Logic**: Extracts token transfer events from Arbitrum blockchain data where the ZYB token (`0x3b475f6f2f41853706afc9fa6a6b8c5df1a2724c`) is transferred from the ZyberChef contract (`0x9ba666165867e916ee7ed3a3ae6c19415c2fbddd`). Each transfer represents an incentive payment to a liquidity provider. Captures the recipient address from the `to_address` field, transfer amount from the `value` field, and transaction metadata.
- **Key fields**: `from_address` (ZyberChef contract), `to_address` (recipient), `value` (ZYB token amount), `token_address`

### Component C: account classification
- **Purpose**: Maps contract addresses to human-readable account names for better categorization
- **Logic**: Maintains a dimension table with predefined mappings for known incentive distribution accounts. Maps `0x40f5af7171b35963dba9cd9952d3f11f5e32dd30` to "Ethernal Farming" and `0x9ba666165867e916ee7ed3a3ae6c19415c2fbddd` to "ZyberChef". Joins this dimension data with the incentive events to enrich them with descriptive account names.
- **Key fields**: `account_address`, `account_name`

### Final aggregation
- **Combining components**: Unions the v2 and v3 incentive data streams using standardized schema with fields for timestamp, chain, business classifications, account information, and token amounts. Both sources are tagged with consistent business metadata: business line as "Exchange AMM", market sector as "exchanges", business segment as "dex"
- **Currency conversion**: Applies USD conversion using end-of-day ZYB token prices and corrects for token decimal places to normalize amounts to standard units
- **Time aggregation**: Truncates all timestamps to daily boundaries and groups incentive events by day, recipient account, and token to calculate daily totals
- **Final calculation**: Sums all ZYB token incentive amounts per day across both v2 and v3 sources, converts the total to USD, and applies gap filling to ensure complete daily time series with zero values for days without incentive activity

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

Value of native tokens distributed as incentives.

ZyberswapZYB

Token incentives

Token incentives

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