About this metric

What does Chain Revenue tell you?

Revenue is a critical metric for measuring a blockchain's adoption and is the sum of all gas fees paid by users. A high fee revenue can be an indication that users find the chain's applications and security valuable, and are willing to pay for it. The Revenue metric reflects the total amount of onchain income generated by the network.

How is Chain Revenue calculated?

At growthepie, we analyze every transaction and sum the total fees paid by users to execute transactions on the chain. This includes all gas fees paid to the sequencers for processing and validating transactions. In some cases, we also include additional revenue that users pay for using the chain, i.e. Arbitrum Timeboost revenue or other inclusion prioritization revenue. By aggregating these, we provide an accurate measure of the chain's revenue generated from user activity. Synonymous terms for this metric include 'Fees Paid by Users' or 'Gas Fees Collected'.

How can Chain Revenue be gamed?

Chain revenue is hard to manipulate directly, since it is determined by real user fees paid to the network. However, chains can also introduce fee incentives or subsidies (i.e. in gas fee credits) to encourage usage, which can temporarily boost revenue figures. Therefore, it's important to interpret this metric alongside other indicators of network health and adoption.

How to interpret Chain Revenue?

A rising revenue generally indicates growing user interest and adoption of the blockchain, while a declining revenue may signal waning engagement. The more users are willing to pay fees to use the chain, the more valuable the chain's applications and security are perceived to be.