132,064 LP wallets • Ethereum Mainnet • Algorithm Validation
Real airdrop analysis
L2 Scaling Solution
Restaking Protocol
Liquid Restaking
Liquidity Providers
Business case studies demonstrate ROI value and actionable insights. Research studies validate algorithm robustness with statistical proof. Optimism combines both approaches.
This research study analyzes 132,064 liquidity provider wallets on AAVE V3 (Ethereum mainnet) to validate the technical accuracy and robustness of our zScore algorithm. The data demonstrates strong positive correlations between zScore and key DeFi metrics: TVL, protocol engagement, and capital efficiency.
This is a pure technical validation study - not a business case study. We focus on statistical correlations, algorithm accuracy, and data-driven proof that zScore effectively identifies high-quality liquidity providers.
Right-skewed distribution with 64% of wallets in the 500-800 range, validating algorithm's ability to identify quality LPs
Distribution Validation
The right-skewed distribution confirms the algorithm correctly identifies the majority of LPs as moderate-to-strong participants (500-800), with only 7.29% flagged as inactive/dust wallets (0-100) and 4.89% as exceptional contributors (900-1000).
Total Value Locked increases exponentially from $8.71 (200-300) to $1.7B (900-1000) - a 195 million times growth
Exponential TVL Correlation (R² = 0.98)
The near-perfect correlation (R² = 0.98) between zScore and TVL proves the algorithm accurately identifies high-value liquidity providers. This exponential growth pattern validates that higher scores directly correspond to significantly higher capital contribution.
Multi-protocol engagement scales from 0.01 to 41.71 protocols, demonstrating consistent correlation with zScore
Linear Engagement Growth (R² = 0.96)
Protocol engagement increases 4,171x from lowest to highest scores, while active days grow from 1 to 1,129. This strong linear correlation (R² = 0.96) proves zScore accurately captures multi-protocol participation patterns.
Value-per-gas ratio escalates 14,825x, proving high-Z wallets execute larger, more capital-efficient operations
Exponential Efficiency Correlation (R² = 0.94)
The value-per-gas ratio grows from 16.27 to 241,129 - a 14,825x increase. This exponential pattern (R² = 0.94) demonstrates that high-zScore wallets are not just more active, but execute significantly more capital-efficient transactions, validating the algorithm's ability to identify sophisticated DeFi participants.
Four critical metrics prove the robustness and accuracy of the zScore algorithm
Out of 132,064 LP wallets, 64% concentrate in the 500-800 range, demonstrating the algorithm's ability to identify moderate-to-strong behavior patterns.
Total Value Locked increases exponentially with zScore - from $8.71 at 200-300 to $1.7B at 900-1000, proving score accuracy.
Average protocol count rises from 0.01 (200-300) to 41.71 (900-1000), showing consistent multi-protocol engagement at higher scores.
Value-per-gas ratio escalates from 16.27 to 241,129, demonstrating that high-Z wallets execute larger, more capital-efficient operations.
All three key metrics show strong positive correlations with zScore, validating algorithm accuracy
As Z-scores increase, total value locked demonstrates exponential growth, confirming that higher scores align with higher liquidity contribution.
Transaction frequency and protocol engagement both rise consistently with zScore, reflecting higher engagement levels.
Value-per-gas ratio escalates exponentially, proving high-Z wallets execute more capital-efficient operations.
The AAVE V3 analysis of 132,064 liquidity provider wallets provides robust statistical validation of the zScore algorithm. With R² values ranging from 0.94 to 0.98, the algorithm demonstrates exceptional accuracy in identifying high-quality DeFi participants across multiple dimensions: TVL contribution, protocol engagement, and capital efficiency.