Xebra Swap is a peer-to-peer system designed for exchanging cryptocurrencies on the Movement M2 chain. It leverages the automated market maker (AMM) model to facilitate seamless and efficient token swaps without the need for traditional order books.
Users can sell their existing tokens for a proportional amount of the desired tokens. During this process, a small swap fee is deducted and distributed as incentives to liquidity providers.
Advantages
Decentralized: No need for a central authority or order book, enabling peer-to-peer transactions.
Efficient: AMM model ensures continuous liquidity and low slippage trades.
Yield: Liquidity providers earn rewards from trading fees, incentivizing participation.
Risks
Impermanent Loss: Providing liquidity exposes users to the risk of impermanent loss, where the value of tokens in the AMM may differ from simply holding them in a wallet.
Simple Steps:
Move to the swap page by clicking on swap
Pick the token you want to sell from the list of available token for the proportional amount of desired token and enter an amount.
Set your slippage tolerance and if satisfied with the fixed charges, click ‘swap now’ and sign the contract inside your connected wallet.
AMM model ensures continuous liquidity and low slippage trades.