April 18, 2024, 4:11 a.m. | Austin Adams, Benjamin Y Chan, Sarit Markovich, Xin Wan

cs.CR updates on arXiv.org arxiv.org

arXiv:2309.13648v2 Announce Type: replace
Abstract: We present the first in-depth empirical characterization of the costs of trading on a decentralized exchange (DEX). Using quoted prices from the Uniswap Labs interface for two pools -- USDC-ETH (5bps) and PEPE-ETH (30bps) -- we evaluate the efficiency of trading on DEXs. Our main tool is slippage -- the difference between the realized execution price of a trade, and its quoted price -- which we breakdown into its benign and adversarial components. We also …

arxiv cs.cr decentralized depth dex don efficiency eth exchange interface labs mev protocol q-fin.tr trading uniswap usdc

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