Swaps: Routing Algorithm

LevelQ's investment products often involve multiple tokens, and for optimal token swapping, the platform utilizes a proprietary Many-to-Many routing algorithm.

This off-chain algorithm monitors pools in all supported Decentralized Exchanges (DEXes) and constructs an efficient transaction path, minimizing swap fees, price impact, and gas costs. A key feature of the algorithm is its ability to split transactions when the total price impact is too high, allowing LevelQ to reduce overall DEX fees.

This routing mechanism is actively employed in LevelQ Boosted Indices during rebalancing and maintenance events, ensuring cost-effective and optimized token swaps.