Zap

Provide liquidity seamlessly with just one token of both tokens associated with any given pair.

The Zap feature serves as a mechanism that expedites the provision of liquidity on decentralized exchanges (DEXs) to offer instantaneous access to the user.

To put it briefly, this process involves providing liquidity to a specific trading pair through a single token transaction, thereby enabling quick and hassle-free access. While this concept may seem novel and intriguing, it is surprisingly straightforward and merits consideration.

Let’s use a simple explanation with actual values and terms: Imagine there is a pool that comprises BTC and USDT. You intend to provide liquidity into that pool when you have only one of the assets, say USDT and 100 units of thereof.

With the Zap feature (via the smart contract managing Zapping), you only have to perform one transaction with the help of the contract that will follow the order of getting the estimate of half the amount of USDT in BTC (50 USDT), and then swapping half of the amount (let’s assume 10 USDT is 0.5 BTC in this case), then finally supplying both the USDT and BTC into the pool (5 USDT and 0.5 BTC respectively), and thereafter transferring the liquidity pool tokens (shares) to the callers’ custody.

This saves a lot of time and eases stress as the user doesn’t have to go through the hassle of estimating prices, swapping and adding liquidity manually, hence not prone to falling victim to loss of value with regards to the pair intended to be Zapped into; it can offer up to a 5x speed-up in real terms.

Below is a simple schematic comparison between the regular approach and the Zap feature;

How it can be accessed on the dApp interface

To zap into any given liquidity pool, you need to hold at least one of the tokens that make up the pair and there must be initial liquidity supplied to the desired pair about the deposited token that is less than or equal to half the value that is to be zapped into the pool.

This feature can be accessed by clicking on the “Manage” button that is associated with the pool displayed among the list of pools in the pool page and then clicking on the “Zap” button on the management page.

An interface that allows the user to select either of the tokens in the pool to Zap into is brought on and upon enabling the assets and zapping, their shares of the given pool are incremented accordingly.on