Overview of Xebra Trade: Decentralized Trading on MVM

Introduction to swapping on Xebra AMM

Xebra Swap is a decentralized platform for cryptocurrency exchanges built on the Movement M2 chain. Using the automated market maker (AMM) model, users can easily swap tokens without relying on centralized order books.

How It Works:

Swapping Process: Users can sell their tokens in exchange for a proportional amount of desired assets, based on the liquidity available in the pool. A small fee is charged on each trade, which is distributed to liquidity providers as a reward.

Trading Fee: A fixed fee is charged on every transaction. On testnet or devnet networks, this fee is set to zero.

Earning for Liquidity Providers: Liquidity providers earn a share of the fees from transactions occurring in the pools they support, incentivizing users to maintain liquidity.

Price Impact: The token price during a transaction is influenced by available liquidity. The higher the liquidity, the lower the price impact, while lower liquidity can result in significant price changes.

Slippage: Users can set a slippage tolerance, which limits the acceptable price deviation during a transaction. If the price remains within the specified tolerance, the swap will be executed; otherwise, it will be canceled.

Advantages of Xebra Swap

• Decentralized: No need for centralized control, enabling peer-to-peer transactions.

• Efficient: The AMM model ensures continuous liquidity and minimal slippage.

• Liquidity Earnings: Liquidity providers can earn revenue from transaction fees.

Risks of Xebra Swap

Impermanent Loss: By adding liquidity to pools, users risk potential impermanent loss, where the value of tokens in the AMM could differ from holding them in a wallet. Remember it!

A little guide for you 🙂

How to Use the Faucet on Xebra

To test Xebra on the testnet, you can use a crypto faucet, which distributes small amounts of tokens for transactions. Follow these steps to claim test tokens:

1. Visit the Xebra Faucet page.

2. Connect your crypto wallet (e.g., Sui, Nightly, Razor).

3. Click "Airdrop Coins" to claim your tokens.

4. Approve the transaction in the wallet popup.

5. Check your wallet for tokens like USDC, USDT, WETH, and others.

How to Swap Tokens on Xebra

1. Visit the Xebra Swap page.

2. Choose the token you want to sell and the token you want to buy.

3. Enter the amount you wish to swap – the system will auto-calculate the amount of the receiving token.

4. Click "Swap Now" to complete the transaction.

Adding Liquidity on Xebra

Xebra allows users to add liquidity to pools using the Uniswap V2 model, with plans to support concentrated liquidity with Uniswap V3 in the future. This feature enables users to earn from transaction fees while helping maintain the ecosystem’s stability.

How to Add Liquidity

1. Visit the Xebra liquidity pools page.

2. Review the available pools, select the one you’re interested in, and click "Add Liquidity."

3. Enter the amount of tokens you wish to provide to the pool.

4. Confirm the transaction in your wallet.

How to Track and Withdraw Liquidity

To view your current positions, go to the Xebra Portfolio page. To withdraw liquidity, click the "-" symbol next to "Add Liquidity" and confirm the transaction.

Conclusion

Xebra Swap provides a simple and efficient way to trade cryptocurrencies without intermediaries. With its decentralized AMM model and liquidity features, users can not only swap tokens but also earn from transaction fees while supporting the network’s liquidity.