Solvers

Intent-based Trading

TX Swap also operates on an intent-based trading model, distinguishing itself from other DEXs. Instead of users executing their trades directly, they sign an intent to trade, specifying the desired tokens and a limit price.

Rather than creating an Ethereum transaction for token swaps, which incurs gas costs and potential failure risks, users sign an intent and hand it over to third parties known as solvers. These solvers compete for users' order flow, striving to offer the best possible execution price. The solver that presents the most favorable price is granted the privilege of settling the user's order. Subsequently, the solver generates and signs the actual settlement transaction.

Solvers

Solvers in TX Swap can move tokens on behalf of the user, leveraging the ERC20 approvals granted by the user to the settlement contract. Throughout this process, the contract verifies the user's intent signature and ensures that the execution aligns with the specified limit price and quantity.

In the following sections, we will provide more detailed information on how the competition functions presently, offer a comprehensive guide on becoming a solver, and provide insights into our plans for achieving full decentralization in this competitive framework.

TX Swap embraces the intent-based trading model, providing users with a seamless and efficient trading experience while enabling solvers to compete for the best execution prices on behalf of the users.