Roles

The main participants in Swaps.io Protocol are the following four categories: Users, Intent Agents, Liquidators, and Liquidity Providers.

Users can make cross-chain swaps just by providing approval for their assets. There are no gas fees for the transactions and no hidden fees from protocol. Users of Swaps.io Protocol receive the best possible rates from Intent Agents, while Intent Agents compete to provide the best swap rate and duration.

Intent Agents are the key players in Swaps.io Protocol. Intent Agents are supposed to be professional market players. They set the rates, hold the liquidity for executing orders, and provide collateral to ensure the security and timely execution of the orders. Intent Agents must analyze the market, build their trading strategies, hold liquidity between networks, be able to rebalance liquidity, manage their collateral, prevent attacks, and have their own risk management strategy. Each Intent Agent is responsible for its own liquidity and should set rates only after a thorough risk analysis.

Liquidators ensure that the whole system works fairly for Users and that all transactions are completed on time. If an Intent Agent takes a user's funds but fails to execute an order, their collateral will be liquidated. If a Liquidator finds a transaction that the Intent Agent did not complete on time, they can finish it for a reward. The Liquidator needs to transfer the desired assets to the User and provide a proof of a transaction to be able to unlock the Intent Agent's collateral. The liquidation process is described on the Liquidation page.

Liquidity Providers can provide liquidity to Liquidity Pool, which offers multi-chain over-collateralized loans and can be used by Intent Agents as additional liquidity to execute the orders. Once the asset is borrowed, an Intent Agent must pay a fee to Liquidity Providers, constantly generating income for them. Due to the multi-chain nature of Liquidity Pool, supported assets are strictly limited and primarily include stablecoins.