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FAQ

1. What is OctoSwap?​

OctoSwap is a native decentralized exchange (DEX) built on the Monad blockchain. It combines traditional AMM pools with concentrated liquidity features, offering users flexible trading and liquidity provision options with advanced smart routing for optimal execution.

2. Is OctoSwap safe to use?​

Yes. OctoSwap is built on battle-tested Uniswap smart contracts that have secured billions in total value locked. All contracts undergo rigorous security audits. However, like all DeFi protocols, there are inherent risks including smart contract risks, impermanent loss, and market volatility.

3. What makes OctoSwap different from other DEXs?​

OctoSwap combines the best of both worlds: simple legacy AMM pools for passive liquidity provision and concentrated liquidity pools for advanced capital efficiency. Our smart router automatically finds the best prices across both pool types, while gamification features make DeFi more engaging and rewarding.

4. Do I need to create an account to use OctoSwap?​

No. OctoSwap is completely permissionless and non-custodial. You only need a compatible wallet (like MetaMask,Rabby etc.) connected to the Monad network to start trading and providing liquidity.

5. How do I start trading on OctoSwap?​

First, connect your wallet to the Monad network. Then navigate to the swap interface, select your tokens, enter the amount, review the swap details, and confirm the transaction. Our Trading Guide provides step-by-step instructions.

6. What are the trading fees?​

Trading fees vary by pool type:

  • Legacy Pools: 0.30% per swap
  • Concentrated Liquidity Pools: 0.01%, 0.05%, 0.30%, or 1.00% depending on the fee tier

Two-thirds of all fees go to liquidity providers, while one-third goes to the protocol.

7. What is slippage and how do I manage it?​

Slippage is the difference between expected and actual execution price due to market movements during your transaction. You can set your slippage tolerance in the swap interface. If the price moves more than your tolerance, the trade will automatically revert to protect you.

8. What is MEV protection and do I need it?​

MEV (Maximum Extractable Value) protection shields your trades from sandwich attacks and other toxic extraction tactics. Monad's no-mempool architecture provides basic protection by default. You can enable additional MEV protection through Atlas by Fastlane Labs in the settings for extra security.

9. Can I trade any token on OctoSwap?​

You can trade any ERC-20 token that has liquidity pools on OctoSwap. For tokens not listed in the interface, you can import them by pasting the contract address. Always verify token addresses and start with small amounts when trading new tokens.

10. What's the difference between Legacy and Concentrated Liquidity pools?​

Legacy Pools: Simple, passive liquidity provision across the entire price curve. Perfect for set-and-forget strategies with broad market exposure.

Concentrated Liquidity Pools: Advanced capital efficiency where you choose specific price ranges for your liquidity. Higher potential yields but requires more active management and understanding of market dynamics.

11. What is impermanent loss?​

Impermanent loss occurs when the price ratio of tokens in your liquidity pool changes compared to when you deposited them. You may end up with fewer tokens than if you had just held them separately. The loss is "impermanent" because it only becomes permanent when you withdraw your liquidity.

12. How do I choose between Legacy and Concentrated Liquidity pools?​

Choose based on your experience and strategy:

  • New to DeFi: Start with Legacy pools for simplicity
  • Passive income: Legacy pools require minimal management
  • Experienced users: Concentrated pools offer higher capital efficiency
  • Active management: Concentrated pools allow custom strategies but need monitoring

13. What are the risks of providing liquidity?​

Main risks include:

  • Impermanent loss from token price divergence
  • Smart contract risks from protocol vulnerabilities
  • Market volatility affecting your position value
  • Range risks in concentrated liquidity (going out of range means no fees earned)

14. How do I earn the most fees as a liquidity provider?​

For maximum fees:

  • Provide liquidity in high-volume pools
  • Keep concentrated positions in-range where trading happens
  • Choose appropriate fee tiers (higher fees for volatile pairs, lower for stable pairs)
  • Monitor and adjust positions based on market conditions

15. How do I earn points on OctoSwap?​

You earn points through:

  • Trading: Based on trading fees paid (not volume)
  • Liquidity Provision: Based on yield generated by your positions
  • Badges: Permanent multipliers for achievements and participation
  • Referrals: Bonus points when you refer active users

16. What can I do with points?​

Points are part of OctoSwap's gamification system and will play a significant role in the platform's future evolution. Currently, they showcase your activity and can be used in mini-games. Their ultimate utility remains to be revealed.

17. What wallets are compatible with OctoSwap?​

Any Ethereum-compatible wallet that supports custom networks can be used with OctoSwap on Monad. Popular options include MetaMask, WalletConnect-supported wallets, and other EVM-compatible wallets. See our Wallet & Network Guide for setup instructions.

18. How do I bridge assets to Monad?​

OctoSwap curates a list of trusted bridge options on our Bridge page. Always use reputable bridges, start with small amounts, and do your own research. Bridge transfers involve risks including smart contract vulnerabilities and potential delays. See our Bridge Guide for detailed instructions.

Need more help?

For additional support, technical questions, or feature requests, contact us through our official channels.

Important: Always do your own research and never invest more than you can afford to lose. DeFi involves significant risks including but not limited to smart contract risks, impermanent loss, and market volatility.