greg
@gregfromstl
Slippage is the dumbest concept in crypto. You’re telling me I can’t know exactly how many tokens I’ll get back, and that’s supposed to be normal??? No, that’s not the future of money. That’s a joke. Get rid of slippage and all other shitty defi artifacts holding the space back.
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✳️ dcposch
@dcposch.eth
You do have an exact minimum. The UX could be better, but the mechanic is fundamental: you either place a limit order (exact price, variable timing) or a market order (variable price, exact timing). Most users want the latter. If you buy AAPL using Robinhood it has slippage too, they just don't show you.
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greg
@gregfromstl
This is only true if you're the maker, not the taker. For consumer use cases getting a requested price is not as important as knowing what the price will be. Imagine venmoing someone $10 and after the fact you see only $9.50 arrived because sorry, slippage.
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Alberto Ornaghi
@alor
When you Venmo 10$ there is no market behind. When you buy/sell a crypto or a stock there is a book order that is being filled and if your amount is begged than the first order you have to follow the price of second, etc etc A big market order is risky for this reason, you can end up filling the book until low prices. Estimating this is hard because the book is not static. Orders will be canceled and created while you are filling new orders. So a perfect estimation will never be possible. If you want to be sure, use a limit order but it could happen that it will never be filled instantly or in hours.
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greg
@gregfromstl
Who said markets have to work this way.
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Alberto Ornaghi
@alor
It’s called ask/bid and this is how every market in the world works 😉 Try to sell 10 tonnes of gold on the market or buy 1 million wagyu steaks and look at what happens to the price…
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greg
@gregfromstl
I used to work for a market maker, I am very familiar with how it works :) I never said this applied to large quantities. I used the example of a $10 venmo intentionally. This is not 1 million wagyu steaks, it’s 1 or 2.
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Alberto Ornaghi
@alor
As you were a market makers you know better than me that slippage is a problem when there is low liquidity. If there are only 2 steaks on the market (worth 10$) and you buy them all, the price of the second one increases after you buy the first one.
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