1) Executive summary

Euler $EUL is a modular lending project built around the Euler Vault Kit (EVK), which enables permissionless creation of isolated lending markets with customizable risk parameters. Each vault operates independently, meaning risks are contained rather than shared across a monolithic pool. The current V2 architecture (launched 2024) connects vaults via the Ethereum Vault Connector (EVC), allowing users to use collateral in one vault to borrow from another while maintaining isolated risk profiles.

In Q3 2025, Euler saw strong growth across key metrics, with fee and revenue growth outpacing TVL and active loan growth. While Ethereum remains the dominant chain for TVL and active loans, user activity is distributed across several chain deployments.

🔑 Key metrics (Q3 2025)

  • Total value locked: $2.61B (+68.30% QoQ)

  • Active loans: $1.36B (+79.80% QoQ)

  • Fees: $22.31M (+158.64% QoQ)

  • Revenue: $2.52M (+162.92% QoQ)

  • Monthly active users: 29.70K (+47.03% QoQ)

2) Total value locked

Total value locked (TVL) measures the total USD value of collateral deposited into Euler V2 markets, plus the outstanding loan amounts. Q3 TVL averaged $2.61B, up from $1.55B in Q2, representing a 68.30% increase quarter-over-quarter. Ethereum accounted for the majority of deposits at $1.85B (70.76% of Q3 total), followed by Avalanche at $341.36M (13.07%). The remaining chains (Linea, Unichain, Arbitrum One, BNB Chain, Sonic, Base, and Berachain) collectively contributed $422.43M (16.17%).

👥 Euler team commentary

"Multichain deployments were the main drivers for TVL, including Linea and Avalanche. Lending activity increased across the market, and stablecoins supplied most of the new capital, which aligns with Euler where the majority of deposits are in stablecoins.

Avalanche’s institutional tilt and base of DeFi power users align closely with Euler’s product. Incentives and newly deployed markets also contributed to growth."

3) Active loans

Active loans measures the total USD value of outstanding borrows across all Euler lending markets. Q3 active loans averaged $1.36B, up from $758.24M in Q2, representing a 79.80% increase quarter-over-quarter. Ethereum accounted for the majority of borrowing at $973.27M (68.92% of Q3 total), followed by Avalanche at $136.27M (9.65%). The remaining chains (Linea, Unichain, Arbitrum One, BNB Chain, Sonic, Base, and Berachain) collectively contributed $302.85M.

👥 Euler team commentary

"Across the market there was a clear shift toward higher leverage in Q3 2025. Borrowers leaned on looping and structured strategies to keep returns up in a yield-heavy environment.

Most demand came from borrowers using stablecoins either as collateral or as borrow targets. Many reallocated into yield-optimized strategies."

4) Fees

Fees measure the total USD value of fees paid by users across all of Euler's lending markets. Q3 fees totaled $22.31M, up from $8.63M in Q2, representing a 158.64% increase quarter-over-quarter. Ethereum generated $12.04M (53.93% of Q3 total), followed by Avalanche at $4.53M. The remaining chains (Unichain, Linea, Berachain, BNB Chain, Sonic, Arbitrum One, and Base) collectively contributed $5.74M.

5) Revenue

Revenue measures the total USD value of fees retained by Euler. Q3 revenue totaled $2.52M, up from $958.89K in Q2, representing a 162.92% increase quarter-over-quarter. Ethereum accounted for $1.03M (40.91% of Q3 total), followed by Avalanche at $710.09K. The remaining chains (Linea, Unichain, BNB Chain, Sonic, Berachain, Arbitrum One, and Base) collectively contributed $778.71K.

👥 Euler team commentary

"Euler’s primary revenue comes from taking a share of all interest (fees) paid by borrowers.

Protocol revenue climbed following a DAO proposal that activated fees across major markets. The Snapshot vote introduced a default 10 percent fee on Euler Yield vaults and on stablecoin vaults in Euler Prime, resulting in higher fee capture.

Internally, fee activation explains most of the change. Externally, higher volatility and stronger demand for stablecoin and staked-asset leverage increased utilization and liquidation activity across chains, which flowed through to revenue."

6) Monthly active users

Monthly active users (MAU) measures the number of unique wallet addresses that have interacted with Euler over a rolling 30 day period. Q3 MAU averaged 29.70K, up from 20.20K in Q2, representing a 47.03% increase quarter-over-quarter. Unichain led user activity with 8.40K users (23.40% of Q3 total), followed by Ethereum at 6.10K and Base at 4.10K. The remaining chains (Arbitrum One, BNB Chain, Linea, Avalanche, Sonic, and Berachain) collectively contributed 17.40K users.

👥 Euler team commentary

"We continued with a key focus on improving the in-app user experience, which coincided with an increase in users. The launch of EulerEarn built on existing features such as native looping, native wrapping, and one-click collateral or savings swaps, making the platform easier to use daily.

We believe user growth will continue spreading across emerging chains even as TVL stays centered on Ethereum. Euler’s modular and multichain architecture enables this, though the core activity still sits on Ethereum."

7) Outlook

👥 Euler team commentary

"We saw continued expansion from earlier in the year, with deployments across new chains and a focus on simplifying the user journey with EulerEarn. This launch also pushed Euler deeper into wallets like OKX Wallet and into easier onboarding flows.

Expanded RWA onboarding for institutions and progress on a fixed rate product. RWA support will come through providers like Securitize and Superstate, plus tokenised equity lines from Ondo and Back.

Continued growth in deposits, borrows, utilization, and overall user activity across chains will define success for the next quarter."

8) Definitions

Components:

  • Euler Vault Kit (EVK): the foundational toolkit for creating and managing isolated lending vaults. Each vault is an ERC4626-compliant tokenized debt market for a specific underlying asset.

  • Ethereum Vault Connector (EVC): a core contract that mediates interactions between vaults, enabling users to use collateral in one vault to borrow from another while maintaining isolated risk profiles.

Metrics:

  • Total value locked: measures the total USD value of collateral deposited into Euler, plus the outstanding loan amounts.

  • Active loans: measures the total USD value of outstanding borrows across all Euler lending markets.

  • Fees: measures the total USD value of fees paid by users across all of Euler's lending markets.

  • Revenue: measures the total USD value of fees retained by Euler.

  • Monthly active users: measures the number of unique wallet addresses that have interacted with Euler over a rolling 30 day period.

9) About this report

This report is published quarterly and produced leveraging Token Terminal’s end-to-end onchain data infrastructure. All metrics are sourced directly from blockchain data. Charts and datasets referenced in this report can be viewed on the corresponding Euler Q3 2025 Report dashboard on Token Terminal.