Real-time valuation for DeFi protocols
SWPE (Supply-Weighted Price/Earnings) is like the traditional P/E ratio from stocks, but adapted for crypto protocols. It tells you: "How many years of revenue would it take to pay back the current market cap?"
Example: If HYPE has a $7.4B market cap and earns $950M/year → SWPE = 7.8x
This means you're paying 7.8 times the annual revenue. At current earnings,
it would take ~8 years to "earn back" the market cap.
HYPE is a perpetual DEX that generates real revenue from trading fees. Unlike many crypto tokens, 97% of revenue goes directly to token holders through buybacks. This means SWPE directly measures how expensive the token is relative to the cash flow you'll receive.
1. Float Market Cap (not total supply!)
We use the circulating supply adjusted for vesting. Many tokens are locked and can't be sold yet
(team tokens, investor tokens). We only count tokens that are actually available to trade.
2. Revenue (30-day average)
Daily trading fees averaged over 30 days, then multiplied by 365 to get annual revenue.
We use an average to smooth out daily volatility.
3. Direct value to holders
97% of protocol revenue goes to buybacks → directly benefits token holders.
💡 Compare to traditional stocks: A tech company with P/E of 15-25x is normal. DeFi protocols with direct revenue sharing tend to trade at 5-10x.
MC/TVL (Market Cap to Total Value Locked) measures how much you're paying for each dollar of capital in the protocol. It's like asking: "How expensive is the token compared to the actual money working in the protocol?"
Example: If CPOOL has a $20M market cap and $43M locked in the protocol → MC/TVL = 0.47x
This means for every $1 locked in Clearpool, the token is valued at only $0.47.
The market is valuing the token at less than half of the capital it manages!
Clearpool is a lending protocol where institutions borrow money. The more TVL (Total Value Locked), the more loans they can make, and the more fees they earn. A low MC/TVL means you're buying the governance of a large pool of capital for cheap.
1. Market Cap
Circulating supply of CPOOL tokens × current price. This is what the market values the entire protocol at.
2. Total Value Locked (TVL)
All the capital deposited in Clearpool that's available for lending. This is the actual money
working in the protocol generating fees.
3. Revenue generation
The protocol earns from interest spreads (difference between what borrowers pay and lenders receive)
plus protocol fees. This revenue is used for buybacks, which benefits CPOOL holders.
Think of MC/TVL like Price-to-Book ratio for banks. A bank valued at 0.5x book value means you're buying $1 of assets for $0.50 - that's typically a value opportunity. Same logic applies here with MC/TVL.
💡 DeFi protocols typically trade at 0.3-1.5x TVL. Below 0.5x is often considered undervalued, especially for protocols with real revenue and token buybacks.
SWPE (Supply-Weighted Price/Earnings) is like the traditional P/E ratio from stocks, but adapted for crypto protocols. It tells you: "How many years of revenue would it take to pay back the current market cap?"
Example: If AAVE has a $4.7B market cap and earns $912M/year → SWPE = 5.2x
This means you're paying 5.2 times the annual revenue. At current earnings,
it would take ~5 years to "earn back" the market cap.
AAVE is a leading lending protocol that generates real revenue from lending fees. The protocol earns from the spread between borrowing and lending rates. SWPE directly measures how expensive the token is relative to the protocol's income generation capability.
1. Market Cap
Circulating supply of AAVE tokens × current price. AAVE has a relatively stable supply of ~15M tokens.
2. Revenue (30-day average)
Daily lending fees averaged over 30 days, then multiplied by 365 to get annual revenue.
Revenue comes from the interest spread charged on loans.
3. Protocol maturity
AAVE is one of the oldest and most established DeFi protocols, with proven revenue generation across market cycles.
💡 Lending protocols like AAVE typically trade at 5-15x revenue. Lower ratios indicate better value, especially for established protocols with consistent revenue.