Bitget MegaSwap Glossary
Bitget has positioned itself as the unequaled crypto hub since its inception in 2018. Now the leading platform for digital assets, we understand the need and appeal to DeFi, and to enhance our users’ trading experience and offer more options for them to expand their portfolios, we are delighted to bring you Bitget MegaSwap, combining the best of CeFi and DeFi all under one platform.
This article will walk you through the basic terms of Bitget MegaSwap to help you quickly get on board!
1. DeFi aggregator
Bitget MegaSwap is an advanced DeFi aggregator, meaning that we gather liquidity from a wide range of trading pools for the best price and lowest fees possible in one location. With Bitget MegaSwap effectively combining the best features of CEXs and DEXs, you can save time and increase efficiency for cryptocurrency trades across various platforms.
Slippage (Price Slippage) is the difference value between the expected price and executed price. The transaction will be canceled if the executed price exceeds the set slippage.
3. Gas fee
When you make a transaction on the blockchain, you will need to pay a fee to the various nodes on the chain (i.e., miners) that help you complete data validation, and this fee is called the gas fee. Bitget MegaSwap automatically converts your gas fees for you from your stablecoin balance in your account, allowing you to trade hassle-free.
4. Price Impact (PI)
Every transaction in the pool will more or less affect the final price of the asset. Price Impact (PI) will display the possible price change after the transaction (compared to the current market price of that asset).
5. Arrival time
The actual arrival time is calculated based on the time the block confirms it.
6. Funding pool
A funding pool (liquidity pool) is a collection of funds locked up in a DEX's smart contract. Users and institutions will deposit (pool) their cryptocurrencies into the funding pool to provide liquidity for others to exchange/ swap their cryptocurrencies.
7. Automated Market Maker (AMM): AMM can be considered a permissionless version of the traditional order book. The traditional order book requires compiling all buy and sell orders at each price point, which are then sorted and matched fittingly. AMM takes advantage of on-chain liquidity pools. The same assets are collected into one pool; buyers and sellers will interact with these pools, and prices will be determined by a mathematical formula. More people agreeing to provide tokens for the pools will equal better liquidity, but records of trading activities on exchanges are usually more intense than those of liquidity providers.