Post-launch of Slippage Protection: A look at our performance

0x

In April 2022, we published our research report Measuring the hidden impact of DEX costs and in July 2022 we were able to productize that research through the launch of Slippage Protection, MEV-aware smart order routing for 0x API.

In today’s report, as a continuation of our efforts, we take a look at the impact of Slippage Protection on slippage for live 0x API trades since launch.

Key observations:

  • Slippage Protection reduced slippage by an average of 48% across all trades during the investigation period.
  • While every trader benefits from Slippage Protection, larger trades see outsized price improvement.
  • Slippage Protection is constantly improving with each passing week. As the model ingests more data, it becomes more intelligent and we’re able to expand support to more trading pairs and more complex routes.

Performance between July 18th - September 5th, 2022

Average slippage by week: July 18th - September 5th, 2022

Timeframe Without Slippage Protection With Slippage Protection % difference
Week of July 18, 2022 10.49 bps 4.57 bps -56.43%
Week of July 25, 2022 10.09 bps 4.45 bps -55.90%
Week of August 1, 2022 5.31 bps 7.83 bps * 47.46%
Week of August 8, 2022 7.39 bps 1.89 bps -74.42%
Week of August 15, 2022 4.1 bps 0.62 bps -84.88%
Week of August 22, 2022 6.8 bps 4.0 bps -41.2%
Week of August 29, 2022 9.9bps 4.7 bps -52.5%
Week of September 5, 2022 5.3bps 2.9 bps -45.3%

* In certain specific periods, transactions with slippage protection might be dominated by a few large trades, and slippage could still happen within each leg for each trade, while the entire trade was slippage protected.

Pairs and Chains supported

At launch, Slippage Protection rolled out with support on Ethereum for the most active trading pairs (ETH-USDC, ETH-DAI, ETH-USDT, ETH-WBTC, WETH-USDC, WETH-DAI, WETH-USDT, WETH-WBTC). We have recently rolled out Slippage Protection to WBTC-USDC. We are continuing to evaluate other chains and pairs.

Start building with 0x API today

We’re excited to equip DeFi developers and enterprise users with the tools and infrastructure to offer the best DEX trading experience for their users. Slippage Protection is auto-enabled in 0x API and no additional integration is necessary. If you are a developer looking for more information about Slippage Protection and 0x API, get started with our developer docs. Enterprise users who require an API key, please contact us directly. To stay updated, please follow us on Twitter.

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