STON.fi and the Problem of Price Slippage
When you swap a token on a DEX, the price you see before confirming the transaction is not always the price you ultimately receive.
One reason is slippage.
If a trade is large compared with the available liquidity, the transaction can move the market price as it executes. The bigger the trade relative to the liquidity available, the more important execution becomes.
This is why DEX design matters.
STON.fi uses different liquidity mechanisms to approach this problem, including liquidity pools and professional market maker quotes.
The idea is straightforward: give trades access to liquidity that can support execution instead of treating every swap the same way.
For users, this can make the difference between simply completing a transaction and getting an execution that is closer to the expected price.
For DeFi protocols, managing this relationship between trade size, liquidity and execution is one of the less visible challenges happening behind every swap.
STON.fi is building infrastructure around that problem within the TON ecosystem.
#STONfi #TON #DeFi #DEX
When you swap a token on a DEX, the price you see before confirming the transaction is not always the price you ultimately receive.
One reason is slippage.
If a trade is large compared with the available liquidity, the transaction can move the market price as it executes. The bigger the trade relative to the liquidity available, the more important execution becomes.
This is why DEX design matters.
STON.fi uses different liquidity mechanisms to approach this problem, including liquidity pools and professional market maker quotes.
The idea is straightforward: give trades access to liquidity that can support execution instead of treating every swap the same way.
For users, this can make the difference between simply completing a transaction and getting an execution that is closer to the expected price.
For DeFi protocols, managing this relationship between trade size, liquidity and execution is one of the less visible challenges happening behind every swap.
STON.fi is building infrastructure around that problem within the TON ecosystem.
#STONfi #TON #DeFi #DEX