Slippage Limit

What is Slippage?

Slippage is the difference between the expected price of a token and the final execution price due to market volatility. If a token’s price moves beyond your slippage setting, the transaction may either execute at a different rate or fail.

Example:

  • You buy with 2 SOL, expecting to receive 200 $MOON (assuming the price is 1 SOL = 100 $MOON).

  • If you set the slippage limit to 15%, the trade will still execute even if the price rises to 1 SOL = 85 $MOON.

    • In this case, you would receive 170 $MOON instead of 200.

  • If the price rises beyond 15%, the transaction will fail to prevent an unfavorable trade.

How to Set Slippage

  • Higher slippage: Increases the chance of execution but may result in receiving fewer tokens.

  • Lower slippage: Reduces risk but might cause failed transactions if the market moves too quickly.

Pro Tips:

βœ… Set a lower slippage (0.5%-1%) for stable or low-volatility assets to avoid getting a bad price. βœ… Use a higher slippage (5%-20%) for newly launched or fast-moving tokens to increase the chance of execution.

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