Hello Hives,
We had a very busy week with frequent changes to the uswap.app fee & reward structure. Previously, we tried to address the liquidity issue of the bridge with a complex (three tiers) architecture but realized it might not work well in the current scenario. As a result, we decided to remove our label - "lowest fee swap bridge," and introduce the following changes to the swap service as well.
We decided to avoid the complexity of having a three-tier fee & reward structure and implemented a simple solution as follows:
Now you can fill 50% of the bridge for a 0.32% reward.
We charge 0.43% if you swap from the large side of the bridge.
Example: When bridge has 10,000 Hive & 20,000 Swap.Hive
If someone tried to send 5,000 Swap.Hive, we will charge 0.43% Fee.
But in the same scenario, someone sent 5,000 Hive, we will send 0.32% Reward.
We share instant rewards in Hive or Swap.Hive form only.
UI Changes
We have added the following graphical chart to the USWAP.APP to support you in easily understanding which side will receive rewards and which side will charge fees based on the current bridge liquidity conditions.
Future Updates:
We do not plan to change this fee & reward structure in the near future. We believe that these rewards & fees are fair when compared to other bridge services. While we value the concept of providing the lowest fees, we also recognize that it could potentially lead to liquidity drain in the system, which is not what we intended.
Our approach is to monitor how other bridges handle their fees, and if we see a widespread reduction in unnecessary fees across the industry, we will consider making similar adjustments to maintain a competitive and user-friendly service.
