Arken Finance

Best-Rate Engine 3.0

With great algorithms, comes great returns with our Best Rate Engine.
Arken Finance’s “Best Rate 3.0” is the latest version of our algorithmic trading engine, allowing the protocol to become even more competitive and efficient in the marketplace. Alongside splitting orders, the “Best Rate 3.0” engine indexes prices from multiple pools to find the best price across all and splits trading amounts across multiple routes in a single transaction to make the trade make an even better price.

How Arken Finance finds the best exchange rate for users

Even a slight "marginal" may open up a world of financial opportunity, especially in the decentralized exchange (DEX) market. While arbitrage can be seen as a common practice in both CEX and DEX, arbitrage in DeFi requires a deep financial understanding and strong coding skills to be successful, limiting the accessibility to this opportunity for common users.
Arken Finance realizes the potential improvement gap and the opportunity to provide traders with a trading tool that can automatically source the best exchange rate and split orders to different routings for maximum returns.

Advantages of the Best Rate 3.0

  • Gas fee reduction by 20–30%
  • No double exchange tax
  • The more DEXs and pools integrated, the better sources of liquidity we can index from, leads to the better exchange rate

Swapbox Fields Explanation

Here are the explanations of the important fields in the swapbox that you should know before swapping and making any transactions.
  • You Receive: This is the number of Tokens calculated from Arken's Best Rate Algorithm that you should receive.
  • Minimum Received: This tells you the minimum guaranteed tokens you may receive, which will never be less than the minimum received value shown. The value of the minimum received shown here depends on the slippage tolerance set by each user.
In an unexpected case of a sudden pool change, front-run, or the blockchain processes other transactions first (often caused by the low gas fee set by users), the price of that specific token is affected. This will cause the change in the number of coins/tokens earned from "You Receive", but never to be less than "Minimum Received".
In the case where the actual amount is lower than the "Minimum Received" shown, the transaction will be rejected and the protocol will return the total amount of original tokens subtract the gas used.

How Arken Calculates "Minimum Received"

[Minimum Received] = 1/(1 + [Slippage Tolerance]) * [You Receive]

Big Order Problem

Many investors in the DEX market have experienced the difficulties and complexities in buying and selling large amounts of assets. The problem is not limited only to the potential of the asset and investment, but also to the algorithm and mechanism of the automated market maker (AMM) model where a pre-defined algorithm determines prices.
In the crypto world, even a split second can make a significant difference in price impact and slippage costs. The larger the trading volume you are ordering, the higher the price impact you will face. Every swap costs us a big opportunity; not to mention the probability of price matching overlook from trading large volumes in smaller liquidity pools, where you struggle to match the price across platforms to make sure you get the best out of your investment.
The small margin costs each time you do the transactions, when factored in with the total amount and total numbers of your investment, could become a huge price for you to pay.
This is where the “Split Order Feature” on Arken comes into play.

How Split Order works

Arken’s Split Order eliminates the challenging and tiresome tasks. Instead of manually monitoring prices and charges, Split Order automatically finds the best price for your trading pairs by searching multiple pools and splits your order across multiple routes to achieve the best possible price in a single transaction.