Gas-free Swaps

Traders pay two types of fees when using a DEX: Gas fees for the network and exchange commission for the DEX. While the latter is reserved for the protocol treasury, gas fees are required for preventing malicious actors from spamming the chain, and incentivizing nodes to create blocks.

Gasp allows traders to save money by only charging a single fee: Because Gasp is an appchain, the rules of the chain can be changed and it’s possible to remove the gas fees altogether. Gasp utilizes the exchange commission as spam protection and eliminates the gas fee.

The Gas Structure on Gasp

• For swap transactions involving a whitelisted token pair (against GASP), and the trade value above a certain threshold (10,000 GASP) the no-fee mechanism applies.

• For swap transactions with a value lower than the threshold, a locking mechanism is used where a certain amount of GASP tokens (50 GASP per transaction) are locked on the user’s balance for 24 hours.

If a user sends another transaction during the lock period, the locked amount and the time period are increased. Tokens can be unlocked through either a swap transaction or a free, designated unlock extrinsic.