Swaps

Low Cost, Optimized Trading Experience

Dynamic Swap Engine

Ura enables the trading of assets with minimal fees and low slippage, using the same hybrid swap engine seen in other modern DEXes. We use a different swap algorithm depending on how closely correlated assets are to one another.

  • Volatile AMM ā€” for assets with low price correlation, the constant product algorithm (x*y=k) is used.

  • Stable AMM ā€” for closely correlated assets, the stable-swap algorithm (x^3y*y^3xā‰„k) is used.

Volatile AMM: For assets with low price correlation i.e $URA and $LUNA

Swap fee: 0.20%

In this volatile 50/50 liquidity pool, each token within the pair will have an equal weight in dollar value.

On URA, we use the constant product swap algorithm:

Stable AMM: For strongly correlated pairs i.e. $axlUSDC and $axlUSDT

Swap fee: 0.03%

This pool model is tailored for assets that typically trade close to the same value, like various stablecoins or staking derivatives. It offers traders better rates with minimal price differences, meaning reduced slippage.

Unlike the Volatile AMM model, the Stable AMM model can handle greater disparity between two assets without causing major price shifts. This design supports bigger trades and operates efficiently with less liquidity.

Stable pools on URA use a stable-swap algorithm, providing near-zero slippage through the swap model:

Where x is the amount of Token X in a liquidity pool, y is the amount of Token Y in a liquidity pool, D is the total number of tokens in the pool when Token X and Token Y have an equal price, and A is the amplification parameter.

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