Trading
Trading is how users exchange one token for another on Aero. Aero quotes across available pools, routes the order, takes the trade fee on each pool in the route, and sends the output to the user wallet via the Trade tab.
This page covers what trading is, how Aero routes trades across pools, how fees work, and the mechanics of price discovery and execution.
What it is
Core trading mechanism
Every trade routes through Aero's smart contract, which handles the whole transaction. That shared entry point lets actions chain together into a single transaction.
- Routes across Slipstream and Basic Pools. A single quote covers both pool types (concentrated-liquidity and full-range) and any route hopping between them. Aero's routing engine automatically selects the best execution path across all available liquidity.
- Cross-network via Metaswaps. When tokens sit on different networks, the Trade function runs a Metaswap, trading across networks in one flow with no separate bridge UI. Atomic settlement ensures the trade completes end-to-end.
- Dust auto-sweep. Any tokens left over at the end of a multi-step flow return to the trader's wallet automatically. No leftover balance on the router, no manual cleanup needed.
Trading features
Aero's trade engine combines several capabilities to optimize execution and simplify the trading experience:
| Feature | What it does | Why it matters |
|---|---|---|
| Multi-hop routing | Finds the best price across multiple pools and intermediate tokens in one transaction | Reduces slippage and gas costs by choosing optimal paths, not just the shortest one |
| Price curve awareness | Routes dynamically based on pool type (constant-product, stable, or concentrated liquidity) | Different pool designs price trades differently; the router picks paths that minimize impact for the trade size |
| Cross-network atomic settlement | Trades across different networks complete in one transaction with no separate bridge step | Seamless experience and atomic settlement eliminate timing risk |
| Slippage protection | Applies across all hops and networks combined | Guarantees final output within the tolerance, not just per-hop |
| Gas abstraction on cross-network trades | Traders pay gas only on the source network; destination gas costs are factored into routing. | Eliminates the need to hold gas on the destination network or pre-fund a relayer, reducing friction for cross-network trades |
Pool type and pool curves
Each pool type prices a trade differently, which shapes how much a given trade moves price. The router considers all three when selecting the best execution path for the order.
| Pool type | Pricing model | Impact behavior | Best for |
|---|---|---|---|
| Basic Pool (Volatile) | Constant-product curve (x * y = k) | Price impact grows nonlinearly with trade size relative to pool reserves. | General token pairs with moderate volatility |
| Basic Pool (Stable) | Stable-swap curve (x^3 * y + x * y^3 = k) | Price barely moves for trades near 1:1 ratio, but slippage rises sharply once reserves drift from parity. | Stablecoin and low-volatility pairs |
| Slipstream Pool | Constant-product curve (x * y = L^2) applied per tick range over virtual reserves | Impact inversely proportional to in-range liquidity concentration. Thin coverage at current price slips more than a smaller, better-concentrated pool. | High-precision trading and volatility pairs |
The trade fee is deducted from the input before it's priced against the curve. A quote's displayed price already reflects the fee-adjusted trade.
How multi-hop routing works
A trade may route through multiple pools to find the best execution price. With no direct A-C pool, the router finds an intermediate token (B) and routes A to B to C in one transaction. The routing algorithm finds the best path that maximizes output.
Better paths come from:
- Deeper liquidity (lower impact)
- Lower fee tiers
- Efficient price discovery
All pools route through a single contract (Metarouter), holding intermediate balances transiently and settling in one transaction. This reduces gas and eliminates multiple approvals. The router balances impact across hops rather than concentrating it on one path. For volatile trades, it may choose longer paths with lower per-hop impact over shorter ones.
Quote details show the exact routing path and per-hop fees and impact. Slippage tolerance applies to final output across all hops combined, ensuring total protection.
How trading fees work
Every trade incurs a fee set by the pool's fee module. On Basic Pools, the fee is static: a per-pool rate set by governance, or the factory default. On Slipstream pools, the fee is dynamic: a per-pool base fee plus a volatility fee that grows with how far the pool's price has moved from its recent time-weighted average, added together and capped.
fee = min(base fee + volatility fee, fee cap)
The first trade in each block computes the fee and every trade in that block pays the same rate, so a quote holds for the block. The volatility input is the pool's own price oracle. A trade's own size does not change the rate it pays. Discounts from the Discount Registry are applied last, and the MEV tax is added separately. See Slipstream for the full breakdown.
Cross-network trades
Selecting tokens on different networks automatically routes through Metaswaps. The trade completes in one confirmation with atomic settlement across networks. No separate bridge transaction is needed.
All steps occur in a single transaction: detect different networks, route through Metaswaps, trade on source network, route across bridge, and settle on destination network.
Settlement uses Metalane (Aero's primary bridge infrastructure). Layer 1 (L1) to Layer 2 (L2) trades typically settle in 1-5 minutes; L2-to-L2 trades settle faster. Estimated timing displays in the Trade UI.
Slippage tolerance covers price movement on both networks. Cross-network fees equal source network fees plus destination network fees (if applicable) plus Metaswap protocol fees. All displayed in quote details.
MEV
Aero's MEV capture identifies MEV activity when the priority fee of the transaction doing a swap (the priority fee is what determines transaction ordering within a block) is above a defined threshold. The tax is then a fee charged (on top of the existing swap fee), which is a multiple of the priority fee value above the threshold. The tax works the same as other swap fees, directed to Token Operator rewards for staked LPs and as directly claimable rewards for unstaked LPs.
Getting started
Open the Trade tab to trade, or browse available pools in the Liquidity view to see liquidity depth and fee structures. Select the tokens to trade, enter an amount, and review the estimated output, routing path showing all intermediate pools, and slippage tolerance. Adjust slippage if needed for volatile market conditions, then confirm the trade. The output tokens arrive in the wallet once settlement completes.
For detailed step-by-step instructions and slippage best practices, see the trading user guide.
For integrators and developers, technical documentation lives in Aero's GitHub repositories.