Asset Pricing Methodology

Overview

Aleno computes real-time asset prices by aggregating data from both decentralized exchanges (DEXs) and centralized exchanges (CEXs). The methodology prioritizes data reliability, liquidity depth, and market representativeness.

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DEX Pricing

1. Pool Discovery

• For each asset, Aleno fetches all available DEX pools across supported chains and retain only the ones with enough liquidity and volume.

• Only pools that pass initialization checks (via on-chain RPC queries) and protocol whitelisting are retained.

2. Quote Asset Selection

• Among all valid pools for the asset, Aleno identifies the pool(s) where the counterparty token (quote asset) has:

  • The highest USD liquidity (usdTvl)

  • Reliable price reference (e.g., stablecoins like USDC/USDT or blue chips like WETH/ETH).

• Pools with illiquid or volatile quotes are excluded.

3. Liquidity-Weighted Pricing

• For all selected pools (possibly across multiple chains), Aleno computes the price of the asset relative to the quote using pool reserves and volumes.

• Each price is weighted by a combination of:

  • Pool USD liquidity (usdTvl)

  • 24h USD trading volume (h24UsdVolume)

• The final DEX price is a liquidity + volume weighted average across all qualifying pools.

4. Quote Normalization via Kraken

• To convert token pairs into a consistent USD-denominated price (e.g., USDC → USD), Aleno uses Kraken's spot market rates as an external reference for major fiat-anchored assets. This normalization step ensures consistency across DEX pools regardless of base-quote pair configuration. For example, a pool quoted in USDC is translated into a USD price using Kraken’s real-time USDC/USD rate. This guarantees accurate aggregation and comparison of prices across heterogeneous liquidity sources.

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CEX Pricing

• Prices from multiple CEXs are fetched using aggregated market data.

• Each market is filtered by:

  • Matching symbol/quote pair (USD or USD-pegged)

  • Verified exchange support

• Aggregation is done via a volume-weighted average across available markets.

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Final Aggregated Price

The final aggregated.price (as seen in /v1/assets/ticker) is computed as:

aggregatedPrice = weightedMean([dexPrice, cexPrice], weights = [dexVolume, cexVolume])

• dexPrice is the DEX-side weighted average across pools.

• cexPrice is the CEX-side volume-weighted average across markets.

• Weights are proportional to h24UsdVolume.