SwapX DOCS
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    • Algebra Integral V4
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  • Odos
  • Orbs
  1. Protocol Design & Features
  2. Algebra Integral V4

Odos & Orbs

PreviousPoolsNextAutomated Liquidity Management

Last updated 1 month ago

Odos

The core engine of SwapX is built to deliver efficient, low-cost trades across a wide array of tokens on Sonic L1. SwapX is utilizing the routing technology of Odos that ensures optimal trades with minimal slippage through all of our liquidity pools. Odos uses a patented AMM pathfinding algorithm to aggregate DEXs and find optimal routes for token swaps, with no fees charged to users. Users can enjoy fast, seamless swaps with competitive fees, all within a secure and intuitive interface, while LPs can enjoy higher rewards.

Orbs

Our primary engine incorporates the ORBS Liquidity Hub, an optimization layer designed to access external liquidity sources, enhancing price execution and minimizing price impact. If the Liquidity Hub cannot provide a better price than the main engine, the trade defaults to the AMM contract and continues seamlessly. This system aggregates liquidity from both on-chain and off-chain sources to offer highly competitive pricing. The Liquidity Hub achieves this by leveraging a network of solvers, operating both on-chain and off-chain, that compete to secure the most cost-efficient liquidity for traders.

The key benefits of ORBS for SwapX users and LPs include:

  • LPs retain the same revenue levels with the Liquidity Hub as they would without it, ensuring no negative impact

  • The Liquidity Hub eliminates arbitrage losses to MEV by matching orders without relying on block producers

  • The protocol allows DEXs to incorporate a standard centralized CEX book API, enabling traditional market makers to participate in DeFi

  • Trades executed via the Liquidity Hub are entirely gasless for users

  • The DEX interface and swap flow remain unchanged, ensuring a smooth and familiar process for users

source:
orbs.com