Frequently Asked Questions (FAQ)
Because it's irresponsible not to!
Think we're flexing? Allow us to convince you:
- Automated Best Price Selection: Swoop automatically sources and ranks swap quotes from a wide selection of DEX Aggregators, ensuring you always swap at the best available rates without manual effort. Why use one particular aggregator when you can use whichever is in your best interest at any given time?
- Optimal Price Execution: By sourcing liquidity from multiple liquidity pools, the DEX Aggregators integrated with Swoop find the most favorable routing for swap execution, significantly reducing price impact and slippage, while maximizing your gains and savings.
- Gas Estimation and Cost Efficiency: Swoop automatically estimates gas cost for your swap quote, providing a clear picture of the net cost of a transaction, enhancing cost-efficiency and securing further savings.
- Cross-chain: Facilitates on-chain and cross-chain transactions across over 16 EVM blockchains, providing users with broader access to liquidity and increasing utility and flexibility.
- Robust Security: High-level security is guaranteed by inheriting the standards of the DEX aggregators we utilize. When trading on Swoop, you swap through the official DEX Aggregators' contracts. We use the router contract of each individual aggregator directly, through their official APIs. More.
- Comprehensive Access: Swoop, under one roof, integrates the best DEX Aggregators, bridges, and DEXes, offering a wide range of trading options in one place.
- All-in-One Trading Solution: Combines trading, monitoring, and charting, along with customizable setups, making Swoop the most comprehensive app for swapping.
- User-Friendly: Designed for both beginners and advanced users, PC and Mobile, Swoop offers a seamless and intuitive UI/UX, making DeFi accessible to all.
Swoop uses advanced routing technology to search more than 10 aggregators and their aggregated DEXes to find the best price for users, without the need for a centralized authority. Our routing system can route transactions through multiple DEXes and liquidity sources simultaneously, ensuring the best price and highest liquidity for swaps.
The discrepancy arises because wallets (Metamask, Rabby, etc) preemptively increase gas limits for transactions by ~50% to avoid out-of-gas errors due to underestimations by the DEX aggregators we utilize. This precaution is in addition to any extra increase your chosen RPC (Remote Procedure Call) network might add to gas estimations. Therefore, MetaMask's displayed gas fees are generally higher.
The accurate Gas Fee that will likely be consumed for the transaction is displayed in our Transaction Review interface. Any excess gas displayed in your wallet, compared to the estimation from our Transaction Review interface, is refunded to you after the transaction goes through.
To further mitigate the discrepancy and any confusion, we're developing a feature to simulate accurate gas fees even in the DEX Selection, enhancing user experience.
Yes! Swoop is a non-custodial, decentralized platform that leverages established, secure protocols, inheriting their smart-contract execution and security.
We utilize the router contract of each individual aggregator directly, through their official API's. This means that users benefit from the same level of security as they would when swapping directly through a DEX Aggregator's user interface, without any extra risk to security.
This approach also extends to airdrops from aggegators. Since you directly swap from the Aggregators router contract, you qualify for any potential airdrops.
To recap, Swoop:
- Does not hold any liquidity
- Does not have smart-contracts
- Routes transactions via official Aggregators directly
- Has no custody of your funds
- As secure as the best DEX Aggregators
- Airdrop qualification
Yes, Swoop applies a modest 0.25% protocol fee, which is deducted from the receiving currency of a swap. For example, if you swap ETH for USDC, we retain 0.25% of the USDC amount. This fee is not an additional charge; it's already included in the quote and is transparently displayed in the transaction review interface before you confirm your swap.
Unlike other protocols that may cannibalize their own token for funding, potentially to the detriment of their holders, or have external backing from VCs, Swoop stands as a self-funded and grant-funded, grassroots protocol, with no token, dedicated to user-centric development. This 0.25% fee is crucial for sustaining our platform and infrastructure, enabling continuous development, the roll-out of new features, and potentially setting the stage for a future of community ownership.
We consider this fee to be fair, especially when weighed against the significant savings and benefits our users enjoy through our cost-optimization and convenience features. To put this in perspective, typical financial services in the fiat world charge a 'small' fixed fee of 20-30 cents per transaction, in addition to a percentage fee ranging from 0.5% to 5%. In DeFi, the commonly accepted slippage rate often ranges between 0.5% and 1%. This is a silent agreement that users generally accept without question.
Our fee, at just 0.25%, is not only a quarter of the upper limit of slippage but also 1/20th of the upper limit of the typical fiat percentage fee, ensuring that users gain more value from their swaps than they would typically expect from any other platform.
Swoop is built on various EVM-compatible blockchains, including Ethereum, Arbitrum, Binance Smart Chain, Avalanche, and more.
For the full list see here.
Swoop, with the help of our partners at Li.Fi, allows you to swap any token for any other token, even if they are on different blockchains and scattered around in different liquidity pools. This simplifies cross-chain transactions for users and provides access to a wider range of assets and capital.
A DEX Aggregator is a protocol that consolidates liquidity from various decentralized exchanges to offer users the best possible swap rates and conditions in one interface. This direct approach to aggregated liquidity sources optimizes the trading process by minimizing slippage, and price impact while ensuring competitive rates.
Swoop takes this concept even further as a Meta-DEX Aggregator, further improving user experience in the DeFi space.
A Meta-DEX Aggregator is a protocol that consolidates DEX Aggregators (Aggregating the DEX Aggregators) into a single user and trading interface, offering broader trading options and liquidity - further reducing fragmentation.
There are numerous DEX Aggregators in the market, and each one excels at different instances, points, and scenarios — since they have their own distinct routing algorithms. So truly, not one protocol is best in all cases, all the time.
That's where Meta-DEX Aggregators like Swoop come in. What we essentially do is pit all the aggregators against each other, rank their quotes, and effectively allow users to get the best current market rate quotes on-chain and sometimes even cross-chain. Swoop, for instance, stands out with its cross-chain capabilities, and integrated bridge functions.
One of the most significant benefits of this architecture, which is typical for Meta-DEX Aggregators like Swoop, is their direct use of the router contracts of each individual aggregator. This means that users benefit from the same level of security as if they were swapping directly through a DEX Aggregator's user interface, without any added security risks.
Additionally, this design has implications for airdrops. Since there are no intermediate smart-contracts in Swoop transactions, when you swap with us, your address is directly registered as a spender in the Aggregators' smart contracts. Therefore, if the Aggregator you choose conducts an airdrop based on usage, you would be eligible just as if you had been swapping directly on their user interface.