Example: Aggregator DEX vs Uniswap

Exemplifies the gains obtained by using Aggregator DEX instead of Uniswap

Conditions

  • Given the token "AGG" which applies 5% tax on buy/sell/transfer

  • Given a buyer B who wants to purchase 100 AGG token

  • Given a seller S who wants to sell 100 AGG token

  • Given that 100 AGG token costs 1eth

  • Given a price impact of 3% for 1eth.

Execution

Case 1: Swap on Uniswap

  • Buyer B gets 100 AGG for 1.073eth

  • Seller S gets 0.927 eth out of 100 AGG

  • Token contract gets 0.1 eth

  • Liquidity pool gets 0.6% of the transaction value

  • Uniswap platform gets 0.5% of the transaction value

  • MEV bots and Uniswap Automated Market Maker consumes 2% of the buyer and seller orders

  • Total fees: 2 x gas fees + 2 x 5% (token tax) + 2 x 0.55% (Platform/LP fees) + 2 x 2% (Slippage) = 15.1% + 2 x gas fees

Case 2: Swap on Aggregator DEX (Stage 1)

  • Buyer B gets 100 AGG for 1.035eth

  • Seller S gets 0.975 eth out of 100 AGG

  • Token contract gets 0.05eth

  • MEV bots cannot intercept these orders since they require a trade signature

  • Total fees: 5% (token tax) + 1 x gas fees

  • Gains compared to Uniswap: 10.1% + gas fees

Case 3: Swap on Aggregator DEX (Stage 2)

  • Buyer B gets 100 AGG for 1.005eth

  • Seller S gets 0.995 eth for 100AGG

  • Token contract gets 0 eth

  • MEV bots cannot intercept these orders since they require a transaction by the platform wallets

  • Very low gas fees

  • Total fees: 0%

  • Gains compared to Uniswap: 15.1%

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