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How Does a “DEX Aggregator” Help Mitigate Liquidation-Induced Slippage?

A DEX aggregator splits a large liquidation order across multiple decentralized exchanges and liquidity pools to find the best possible execution price. By routing the order through various sources, it minimizes the price impact on any single pool, thereby reducing the overall slippage and mitigating the rapid price drop caused by the liquidation.

How Does the Concept of ‘Chain Splits’ Relate to Cryptocurrency Derivative Markets?
What Is a Smart Order Router (SOR) and How Does It Aid Best Execution?
What Is the Role of an Aggregator in Minimizing Market Impact on a DEX?
How Do Decentralized Exchange Aggregators Help Minimize Slippage?