SyncSwap is a decentralized exchange where you trade tokens from your wallet through shared pools on Ethereum layer 2 networks. Layer 2 networks process Ethereum transactions with lower typical costs; the exchange is native to zkSync Era. Code handles the trades, and you can also supply tokens to earn a share of pool fees.
SyncSwap Trades Through Shared Pools
Each trade uses a liquidity pool, a shared reserve of tokens supplied by other users. An automated market maker (AMM) is code that prices the trade using the poolβs balances. As a trade takes one token out and puts another in, the price changes.
Classic Pools serve pairs whose prices can move apart, such as ETH and USDC. Stable Pools are designed for assets expected to stay close in price, such as two dollar stablecoins. If one stablecoin loses its dollar peg, the pool cannot preserve its old value.
To exchange one token for another, you need a pool with enough of the token you want. At SyncSwap, you can trade against these pools on a supported network. A SyncSwap token swap is complete when the network confirms the transaction and the bought tokens reach your wallet.
A First Swap Needs a Wallet, Tokens, and Gas
Your first swap needs a compatible wallet holding tokens on a supported layer 2, plus gas for the transaction. Gas is the networkβs processing charge, paid in the token that network requires. Its cost changes with network activity, so leave enough to pay for the swap.
Choose the token pair and amount, then check the quoted amount you would receive. Pool fees affect that quote, while gas is paid separately. Price impact is the change caused by the size of your own trade; it grows when a pool has little liquidity.
Say a quote offers 0.024 ETH for 100 USDC. Before the trade, your wallet has the USDC; after confirmation, it has 100 fewer USDC and about 0.024 more ETH. The received amount can change slightly while the transaction waits.
Slippage tolerance is the largest unfavorable price move you allow during that wait. At 0.5%, a 0.024 ETH quote sets a minimum of roughly 0.02388 ETH. Below that minimum, the swap fails, though you may still pay gas.
Liquidity Provision Brings Fees and Price Risk
SyncSwap liquidity pools let you deposit a token pair for a share of trading fees. Traders use those deposited tokens, so the amounts of each token in your share can change. Withdrawing may give you a different mix from the one you supplied.
At syncswap.dev, you would supply your chosen pair to a liquidity pool. Check how much of each asset the pool needs, and keep gas for both depositing and withdrawing.
Suppose you add equal dollar values of ETH and USDC. If ETH rises, traders may take ETH from the pool, leaving you with less ETH and more USDC than holding both tokens would. That difference is called impermanent loss; fees may not cover it.
A Stable Pool aims to serve closely priced tokens, but a broken peg can cause losses. Smart contracts are the on-chain code holding pool assets, and a fault in that code can also put deposits at risk.
A Confirmed Swap Leaves Tokens in Your Wallet
Once the network confirms your swap, the bought token stays in your wallet on that layer 2. These two checks address common problems before and after a first trade.
Can I swap tokens still on Ethereum mainnet?
No. A token on Ethereum mainnet is not automatically available on a layer 2. You must first move it through a bridge, which transfers assets between networks, or withdraw it from an exchange to the right network. Check the destination network and token contract address, the tokenβs unique on-chain identifier; matching ticker letters alone do not prove it is the same asset.
Why did my swap fail?
A swap can fail if the price moves beyond your slippage limit before confirmation, or if the transaction runs out of gas. When a swap fails, the tokens you meant to trade stay in your wallet, but the network may still charge for processing the attempt. Check the cause before retrying; raising slippage without checking the pool can make the next trade costly.
After a successful swap, check the received token and amount in your wallet. Keep enough gas there for whatever you plan to do next.
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