PawSwap Overview: Architecture & Execution Model
PawSwap is a non-custodial, smart-order-routing layer designed to search across AMMs and RFQ makers
to deliver competitive, effective prices (output after fees, slippage, and gas).
The router evaluates multiple paths (single-hop, multi-hop, split-order) and can request firm or indicative quotes
from integrated market makers, selecting the route that maximizes expected value under your slippage bound.
Core Components
- Route Planner: Generates candidate paths across AMMs (stable/volatile pools) and optionally splits size across venues to reduce price impact.
- RFQ Layer: Queries connected liquidity partners for firm quotes on specific pairs/size; useful for large or illiquid routes.
- Execution Kernel: Encodes approvals + swap calls, respects your slippage limit, and fails fast on adverse re-quotes.
- Risk & Validation: Token list and contract checks (user-provided and curated lists), minimum-approval policy, and route sanity checks (no unknown targets).
What “Best Execution” Means in Practice
“Best execution” is not just highest quoted output; it’s the balance of:
- Price impact: Larger size moves the pool; split-routes can smooth impact.
- Explicit fees: AMM fee tiers and any interface/partner fees shown in the UI.
- Gas cost: More hops and complex paths cost more gas; the router weighs net outcome.
- Fill risk: RFQ firm quotes vs. indicative AMM quotes under volatile conditions.
MEV-Aware Flow
PawSwap supports an MEV-aware workflow: tight slippage, optional private/builder RPCs (where available),
and order-splitting for larger trades. This reduces exposure to sandwiching and adverse selection.
Security, Trust Boundaries & Operational Safety
PawSwap is non-custodial: swaps settle directly on-chain to your wallet. Still, routing and approvals carry risks.
The design principle is minimize trust in off-chain components and surface all costs/approvals explicitly.
Key Safety Practices
- Verified Contracts: Always match token addresses using reputable explorers (Etherscan, Arbiscan, BscScan, Polygonscan).
- Allowance Hygiene: Approve the minimum needed for execution; periodically revoke stale allowances.
- Hardware Wallets: Prefer Ledger/Trezor for material balances; verify destination and amounts on-device.
- Phishing Defense: Bookmark the official app/docs; avoid signing opaque or arbitrary approvals.
Threat Model & Mitigations
- Sandwich/Front-run: Tight slippage, private mempool/builder relays where supported, and break large orders into chunks.
- Re-entrancy / Bad Targets: Router only calls audited or allow-listed functions; token list validation reduces unknown calls.
- Price Oracles: Execution does not depend on a single oracle; on-chain AMMs/quotes are the source of truth at settlement.
Power Features for Traders & Integrators
Smart Order Routing
The router evaluates single-hop (A→B), multi-hop (A→WETH→B),
and split-route executions (A→B across multiple pools) to minimize price impact and slippage.
Routes are scored on expected output net of gas and fees.
RFQ (Request-For-Quote)
For larger sizes or illiquid pairs, connected market makers can return firm quotes for a given size/time window.
If the RFQ is better than AMM paths after gas, the router selects it; otherwise, it falls back to AMMs.
Limit Orders & DCA (if enabled in your UI)
- Limit Orders: Specify a target price; orders trigger when market meets your threshold. Expect partial fills or expiry in volatile markets.
- DCA: Schedule recurring buys/sells to reduce timing risk; ensure you keep gas funds across legs.
Cross-Chain Options
PawSwap focuses on same-chain best execution. For cross-chain, use reputable bridges/routers (or integrated partners where available),
then execute locally via PawSwap to optimize entry/exit pricing.
Developer Notes
- Stateless routing requests with deterministic calldata.
- Clear revert reasons on failed slippage or allowance checks.
- Event logs for route selection, cost breakdown, and realized output (for analytics).
Execution Quality Metrics (What to Track)
- Quoted vs. Realized Output: Δ after settlement and rebasing/fee effects.
- Price Impact: Execution price vs. mid-price before submission.
- Effective Cost: (Gas + Pool Fees + Partner Fees − RFQ improvements) per unit transacted.
- Cancel/Fail Rate: Useful to tune slippage and RPCs for your environment.
Practical Runbook: Getting Best Results
Before You Swap
- Keep native gas token on hand (ETH/ARB/MATIC/BNB) for approvals + swap.
- Verify the token address, decimals, and tax/fee flags if the token has transfer fees.
- Start with a small test amount to validate route behavior.
Slippage & Gas Tips
- Majors/liquid pairs: 0.1–0.5% slippage; niche tokens: wider depending on depth.
- High-volatility windows: prefer RFQ or increase gas to reduce inclusion delay.
- Large size: enable split-route and consider chunking the order.
Troubleshooting Matrix
- Revert: INSUFFICIENT_OUTPUT_AMOUNT → Slippage too tight or price moved; refresh route, nudge tolerance.
- Revert: TRANSFER_FROM_FAILED → Allowance/approval missing or token blocked; re-approve minimal amount.
- Stuck pending → RPC congestion; try a different RPC or speed up with higher priority fee.
Frequently Asked Questions
How is PawSwap different from using a single DEX?
Single DEX = single pool/pricing source. PawSwap aggregates AMMs and RFQ makers, evaluates net outcome (after gas/fees),
and can split across venues to lower price impact—especially important on larger trades or thin markets.
What chains and tokens are supported?
PawSwap targets major EVM chains (e.g., Ethereum, Arbitrum, Polygon, BNB Chain, Base, Avalanche).
Token availability depends on each chain’s liquidity and integrations. Always verify contract addresses in explorers.
How do I reduce MEV and failed transactions?
- Use tight but realistic slippage; prefer private/builder RPC where available.
- Trade outside peak volatility; consider RFQ for size.
- Split large orders; increase gas priority to reduce mempool time.
Do limit orders and DCA require custody?
No custody by PawSwap. Orders are created via smart contracts or off-chain watchers; settlement happens on-chain to your wallet
when the condition is met. Always review the specific UI’s implementation details and permissions.
Why did my realized output differ from the quote?
Markets move and liquidity shifts. Gas, pool fees, RFQ validity windows, and inclusion time all affect realized output.
Track your effective price (net of all costs) to compare routes fairly.