Address Graph Topology

Address graph topology refers to the study of the structural relationships between blockchain addresses and the flow of value between them. It treats the blockchain as a complex network where addresses are nodes and transactions are edges.

Analyzing the topology of this graph reveals the interconnectedness of the ecosystem, including the presence of hubs, clusters, and isolated participants. This structural view is essential for understanding how systemic risk propagates through the network.

It helps identify critical nodes whose failure or activity could impact the entire market. Researchers use graph theory to calculate metrics like centrality and path length to assess the robustness of the system.

This provides a multi-dimensional perspective on how liquidity moves across different protocols and exchanges. It is a foundational approach for systemic risk and contagion analysis.