Proposal
To address the misleading perceptions caused by current 24-hour fee to TVL metrics, especially in smaller pools influenced by large, short-term investments, I propose a significant enhancement to the measurement approach.
What’s Changing:
Introducing additional metrics: 1-hour, 6-hour, and 12-hour fee to TVL ratios. This change promises a better view of pool dynamics and better risk management.
Why It Matters:
Large transactions by whales can significantly inflate the 24-hour TVL, leading to skewed data that doesn’t accurately reflect the pool’s usual activity.
These new metrics will serve as a gauge of market sentiment, offering immediate insights into market behavior. This will not only increase transparency but also build greater trust among pool participants.
This is what I was discussing on today’s community call. Just imagine if OHLCV candlesticks also included TVL. If you could track TVL at a resolution of 1 minute, then you could create time series charts at any candlestick size that shows accurate turnover measures for that candle. An accurate fee / TVL would measure the fee / TVL at the smallest time grain possible, aggregate it and calculated it properly weighted over 24 hours (or whatever time period you want).
You could also calculate moving averages on fee / TVL with different lags, and develop all kinds of other derivative metrics with it. I would imagine these are all things that professional market makers have access to, or at least their algorithms utilize it. We need to put this kind of information into the hands of Meteora users.
@GeekLad provided a clear explanation. While resolving Total Value Locked (TVL) at one-minute intervals is not strictly necessary and could extend to hourly intervals, 30 minutes or 10 minutes, more frequent data points would enhance the visibility and analysis of pool metrics as Jorge aptly mentioned.