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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mcilroyc
@mcilroyc
This is a function of low, distributed liquidity, not UX. You can try to create a “better” experience for the user but this fundamental property of DeFi and liquidity doesn’t change.
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greg
@gregfromstl
Not fundamental at all. It's a side effect of design choices (particularly ones that protect market makers). Very few things are fundamental and slippage is far from one of them.
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mcilroyc
@mcilroyc
You know more about this than I do (thanks for posting that writeup you did). But what IS fundamental is the uncertainty in final trade price, especially in low liquidity markets. Taking on risk (by a market maker) requires compensation. So it seems like avoiding slippage implies higher cost to the retail traders over time. Maybe you’re saying thats an acceptable trade off.
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greg
@gregfromstl
Correct. Consumer apps don’t need best price execution, because the swap isn’t the end goal. What they really want to do is pay someone, or buy a product, or put down a deposit with the funds they get back. Paying a higher fee to the maker in exchange for a deterministic price is fine, but that fee doesn’t need to be the maximum slippage price either.
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