What is Subsquid (SQD)?

Deep Dive

1. Purpose & Value Proposition

Subsquid tackles the problem of centralized, slow, and expensive access to blockchain data. Traditional methods often rely on single providers or require developers to run their own complex indexing infrastructure. Subsquid’s decentralized data lake provides a permissionless, scalable alternative. This is critical for developers building responsive dApps and for AI projects needing reliable, real-time on-chain data feeds.

2. Technology & Architecture

The platform is built as a modular, decentralized network. Worker nodes store historical blockchain data—over 3 petabytes as of August 2025—and make it available for querying. This architecture separates data ingestion (indexing) from the query layer, allowing for high performance and customization. Developers can define specific data schemas and build tailored APIs, getting the exact data they need without managing backend infrastructure.

3. Tokenomics & Governance

The SQD token is the economic backbone of the network. Its primary utility is to coordinate and secure the data marketplace. Users lock (stake) SQD to increase their data query allowances from the network. Node operators must also stake SQD to run worker nodes, earning rewards for their service. This model incentivizes honest participation and decentralizes control. As of August 2025, about 30.6% of the total supply was locked in the network (@helloSQD).

Conclusion

Fundamentally, Subsquid is a utility-driven infrastructure project that decentralizes access to blockchain data, powered by a token that aligns incentives between data consumers and providers. As the demand for reliable on-chain data grows, how will its permissionless model compete with established centralized indexes?