FAQs
Frequently Asked Questions regarding the protocol
Q: What is the difference between classic and stable pair type?
A: The classic pair type utilizes the formula as the invariant for calculating input and output token amounts. You should use this curve type for assets which have no correlation with each other (e.g. BTC.b-WETH or AVAX-USDC). The default swap fee is set at 0.3% but is changeable by governance actions.
For the stable pair type, it is meant for tokens with very close values (e.g. stablecoin pairs such as USDC-USDT, USDC-DAI, EUROC-EUROe, WBTC.e-BTC.b). It uses the stableswap invariant with a configurable Amplification Coefficient to control how much the prices should stay close even if the token ratios deviate from 50-50. With this invariant the protocol provides greater capital efficiency and better swap prices even with a smaller amount of liquidity. The default swap fee is set at 0.01% but is changeable by governance actions.
Q: Are fee-on-transfer tokens supported?
A: No, they are not supported at the moment.
Q: Are rebase tokens supported?
A: No, rebase tokens (such as stETH or aaveUSDC) are not supported at the moment. However wrapped versions of rebase tokens (such as wstETH) are supported.
Q: What are the fees?
A: The default fees for pre DAO governance is 0.3% on Classic pools, and 0.01% for Stable pools. 25% of the swap fees are reserved as a platform fee, and all other fees are shared amongst liquidity providers. In the future, the DAO will be established and the fees will be variable, as dictated by DAO shareholders.
Q: Has the protocol been audited?
A: Yes, you can find the details of any audit under the "Audit" tab.
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