How does Dexible make money? Updated February 2023
The business model is simple—8 basis points fee per parent order, charged sequentially for each child order transaction.
- 8bps means 0.08%.
- ex: for a $10000 order of 8 rounds, that's $8 total, and each transaction costs $1.
Dexible takes its fees from the Approved Vault Fee Token in the swap pair (ex: swapping a long tail moonshot asset for USDC, Dexible will take USDC as the fee token).
Dexible delivers the most value for its traders.
- Traders take home more output than other aggregators. On average, traders incur 30% less slippage, meaning nearly at least 3% improved output than the next closest alternative.
- Other platforms charge higher bps (like MetaMask).
- Other platforms capture the trader's positive slippage (like 1inch).
- Other platforms don't have robust conditional orders (like Kyberswap and Paraswap).
- Dexible has a 95%+ transaction success rate, whereas the industry average is closer to 78%.
Dexible will perform some wizadry to estimate the gas fee for successful strategy execution. The gas fee, computed off-chain, will be expressed in fee-token and native currency units. Because it's computed off-chain, the estimate's accuracy may not align with actual gas fees on-chain. Sometimes it will be higher, sometimes lower.
- Pre-October 2022, Dexible charged flat fees at different rates per each chain. Based on community feedback, we shifted to a volume-based fee structure so that smaller portfolios could benefit from Dexible's automation.
- Pre-February 2023, Dexible charged 8bps in the highest liquid token of the swap pair. Likely, this would involve a Stablecoin, a wrapped native token, or any token with the highest liquidity in the swap pair. This shifted to protocol fees expressed in the Approved Vault Token in the pair.