Introduction

THORChain is a decentralized liquidity protocol that allows users to swap assets in a permissionless setting. It enables the exchange of native layer-1 assets like BTC by acting as a vault manager. To secure its network, THORChain uses Tendermint and Cosmos-SDK. It also utilizes Threshold Signature Schemes (TSS) for its leaderless primary vault. [Source][Image Source]

In This Dashboard…

we’re going to investigate the additional swap volume needed to offset the block emissions.

Key Finding: Swap Volume needs to be multiplied by 9 to offset emissions.

Methodology

i used flipside crypto’s db.thorchain.swaps and db.thorchain.block_rewards THORChain tables for my analysis.

Daily Emissions consists of Block Rewards (a function of Reserve Balance) and Earnings which’s paid to Node Operators and LPs. details can be found in following links:

• Emissions Schedule
• Flipside THORChain Tables

for this analysis i considered everything else the remain equal meaning that for the same multiply of swap volume, fees multiply the same amount to give us a rough estimate.

• thanks to Multipartite#7799 for the insights on ThorChain mechanism.

in July 15 2021 THORChain suffered a $8 Million hack due to an exploit in it’s Bifrost Protocol, which explains the sudden spike on the charts and lack of volume in following days as THORChain halts the operations.

[Source]