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// FLAGSHIP RESEARCH

Blockchain Money Flow Analysis

Who Gets Paid what in the Ecosystem — October 2025 | Ricardo Mastrangelo

Executive Summary

This analysis examines the distribution of economic value generated when users interact with blockchain networks. For every $1 in transaction fees, value fragments are distributed across multiple recipients — on-chain among validators, miners, foundations, token holders, oracle networks and MEV searchers, and off-chain among venture investors, infrastructure operators, oracle networks and other service providers.

We mapped end-to-end cash flows across 25+ major networks and the 20 leading protocols and dApps, using a composite framework that integrates quantitative data with expert assessment where public information is unavailable.

The analysis identifies a $120–170 billion annual subsidy economy underpinning the blockchain industry. Cross-network fee data indicates approximately $3.1 billion in annualized blockchain fee revenue and $10.6 billion in protocol-level fee revenues, implying a subsidy gap of $106–156 billion — roughly 90% of total ecosystem costs.

Only a limited subset of ecosystems approaches self-sustaining models. Hyperliquid generates an estimated $0.5–1.35B in annualized trading-fee profits, while Base extracts all revenue and is profitable. Yet even these exceptions face material long-term risks.

Bitcoin requires $54-72B annually to secure $115M annually in fees. Ethereum depends on $4.5-5B in annual subsidies versus $55M annually in daily fees. Most networks rely on highly inflationary token redistribution mechanisms, with user fees representing at best 5-10% of total economic flows even for major established networks.

[DOWNLOAD FULL REPORT — PDF]25+ chains | 20 protocols | 14 oracles | 47 pages
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