Crypto saw quite the boom in 2024, with Bitcoin and many other tokens reaching new all-time highs, a myriad of new and incredible blockchain launches, and much of crypto mindshare being focused on the user experience and abstraction in DeFi, both of which Magpie is very focused on.

This has been a year of building, integrations, partnerships, and of course, expanding our community flock, and we’d like to share our highlights of 2024 with you, so let’s dive in!

Community

First, the entire Magpie team wants to extend a heartfelt thank you to our community of birds out there for all the support you’ve shown us this past year, it really means the world. The Magpie Mafia more than doubled its official membership, to over 27,000 members, who could compete for the over $20,000 in prizes we gave away during our community campaigns over the year. Magpie has launched our own in-house quest system to earn rewards and begin the Nesting Season as soon as this month, so keep your eyes peeled.

In August, we kicked off a series of community Twitter Spaces and Discord AMAs, which have helped bring our community closer to the team, providing a platform for open discussion, feedback, and conversation. If you’d like to check out one of our latest, tune in here to check out our chat with Sonic and many others in the ecosystem, then be sure to follow our Twitter (X) to stay up-to-date on any that we’ll be hosting or taking part in.

Volume

Magpie achieved a huge milestone by surpassing $4 billion in volume across over 600,000 swaps, underscoring the trust and commitment our users and partners place in us.

Campaigns

With campaigns every month, we were able to give away over $20,000 USDC in rewards this year. If you’re interested in more campaigns, the journey is just beginning. We developed our own in-house tracking and leaderboard for the Magpie dApp where we can host our own events for rewards. Be on the lookout for Nesting Season and Magpie Mafia Season 2.

Drip Launchpool

Magpie partnered with Drip Protocol (now PERQ) to launch a pool where users could deposit their stablecoins or WETH to earn points which can be redeemed upon our TGE for our token. Peaking at $6.69m in TVL, Magpie was one of the most popular pools of all time on PERQ, so we’re extremely grateful to the PERQ team and everyone who participated.

New Features & Updates

Magpie’s bird technicians were incredibly busy this year improving not only the performance of the dApp, but its UI, and usability features. We’ll highlight just a few below but be sure to check out the links provided for a more thorough breakdown.

✅ Gasless Swaps

Magpie’s new gasless swaps feature lets you trade tokens without paying gas fees in native tokens. Instead, gas fees are deducted from the token you sell by using your wallet signature and the Magpie relayer.

✅ LP Token Swaps

Magpie now supports LP token trading for many protocols, where users can swap directly into LP tokens from the app itself. Additionally, our tech will allow us to enable adds, removes, deposits, or withdraws of liquidity directly.

✅ Magpie Explorer

We rolled out the Magpie Explorer offering an easy-to-use page to track cross-chain swaps done on the protocol. Users can see which underlying protocols were used, as well as the assets swapped and how long it took.

✅ Updates

Our team has worked incredibly hard this year to continually update the app and user experience, updating the contracts, the UI, adding quality of life adjustments, and much much more. Be sure to check out just some of what was added here and here.

Integrations

This past year we added support for eight blockchains, bringing our total support to 15, continuing our mission to provide the absolute best pricing available across the most popular chains in DeFi.

🔗 zkSync

🔗 Fantom

🔗 Blast

🔗 Manta

🔗 Scroll

🔗 Taiko

🔗 Metis

🔗 Sonic

Of course, for each blockchain, liquidity is needed, and we’ve added over 45 new sources this year and integrated as well as partnered with some amazing DEXs in the DeFi space. While not all-inclusive, here are some of them:

-Caddi Finance

-Gravity

-Maverick

-DeFive

-Vicuna

-Equalizer

-GT Protocol

-Stable Jack

-Metropolis

-Spooky Swap

-Bebop

-Smardex

-Spartan

-VelocoreV2

-SwaapV2

-SyncSwap and SyncSwapV2

-Hyperjump

-Sushi and SushiV3

-WAGMI

-Tethys

-QuickswapV3

2024 also saw the launch of Magpie’s API and push for partner integrations, where other protocols can make use of the best of the best aggregation, routing, and cross-chain swaps for their users. Here’s a list of a few of the protocols who have integrated Magpie thus far.

Mainline

Mainline is an Omni-Chain, AI Powered, Auto Trading Co-Pilot bot that utilizes their own proprietary social intelligence algorithms, which has been refined over the last three years and contains information from the market & on-chain data, to help predict price movements. Mainline has integrated Magpie to handle the swaps behind the scenes for users so that while Mainline is handling when to trade, when it does, we make sure the user gets the best price possible.

Orbs

Bringing centralized level liquidity and execution to DeFi, Orbs is a decentralized Layer-3 (L3) blockchain infrastructure designed specifically for advanced on-chain trading. They improve on-chain trading by acting as an execution layer for Layer 1 and 2 blockchains, paving the way for advanced trading orders in DeFi as well as decentralized derivatives. Magpie has been integrated into Orbs so that when Magpie finds a better price for users, Orbs will use our app for the swap.

MetaZ

MetaZ is a sneakerhead haven, with a dream of making the process of buying, trading, and showing off one’s collection easier through the power of DeFi and NFTs. Each NFT represents a real pair of sneakers, which can be swapped, purchased, sold, and shown off online. MetaZ authenticates and stores the sneakers at no charge in a controlled environment for safekeeping. If you want to wear them, not a problem, you can redeem the NFT and MetaZ will ship them to you anywhere in the world. If you’re looking to buy some sneakers, Magpie allows for ANY asset to ANY asset swaps to buy sneakers directly through MetaZ.

Rings Protocol

One of our latest partnerships, just launching this past week, is Rings Protocol, a scalable yield bearing stablecoin for the Sonic Ecosystem. Using Magpie, users can swap directly into scUSD or scETH, and what’s more, if there isn’t enough liquidity, our partnership allows for the minting of these two assets directly in the Magpie app, so you don’t need to go elsewhere.

Beyond Tech

Beyond Tech, a decentralized interoperability protocol that enables seamless cross-chain messaging and asset bridging between the largest DeFi chains and Bitcoin L1, allowing for users to switch back and forth between any Bitcoin token standard, from BRC-20 to Runes, all without leaving layer 1, supporting over 70 sidechains/L2s and over 500 tokens, so if you’d like, you can bridge your tokens from DeFi to any other token on BTC L1. Magpie was provided with 50 whitelist spots for their Orange Pill Ordinals for our community to show off their love for the BTC ecosystem. As for integrations, users will be able to swap any token to any token from any of the Beyond Tech supported chains and Layer 2s.

With each integration, it brings Magpie closer to our goal of making Magpie the premier protocol for DeFi, whether you need to swap on-chain, fly cross-chain, enter a liquidity position, purchase some LSTs for yield generation, buy some sneakers, mint yourself some tokens, and much more, we’ve got your beak, sorry, back. These protocols and chains bring their unique offerings as well as add enhanced liquidity to Magpie, allowing us to continue delivering the best possible pricing in DeFi alongside the best UX.

Events & Networking!

This year has been packed with conferences and gatherings around the globe, and since we’re birds, it was quite easy to fly to all the best ones. Some highlights include ETH Denver, Token2049 — Dubai, Consensus 2024, EthCC, DevCon, KBW (Korea Blockchain Week) and Token2049 — Singapore

These events gave us the chance to meet many of you in person, host some parties, have some fun, as well as share updates on Magpie’s progress, and network with other projects, protocols, and blockchains.

Blogs

We did a lot of building this past year, but we also published many articles detailing our partnerships, integrations, development updates, as well as some general DeFi knowledge, here are a few for you if you’re on a break at work or drinking your morning coffee and need some alpha.

📖 Aggregation: Past, Present, and Future

https://medium.com/@Magpieprotocol/aggregation-past-present-and-future-3983f430d092

📖 What’s New with Magpie

https://medium.com/@Magpieprotocol/whats-new-with-magpie-259f0bd78b48

📖 How Does Wormhole Facilitate Swaps?

https://medium.com/@Magpieprotocol/how-does-wormhole-facilitate-swaps-d7e070cbd61e

📖 The Power of Intent-Based Aggregation

https://medium.com/@Magpieprotocol/the-power-of-intent-based-aggregation-9fe680873d04

📖 All About $FLY

https://medium.com/@Magpieprotocol/all-about-fly-b4391ac7a2b7

From swooping into the details of aggregation tech to the benefits of intent-based aggregation, these blogs may teach you something new in an easily digestible way.

Looking Ahead

Thank you to everyone who has joined us on this incredible journey and as we move forward, we want to make sure we are listening to the community for feedback, ideas, and any other ideas you may have, so please check out our Charmverse and leave us your thoughts or vote on the ones you like!

From those who have been with us for years, to those who found out us about us today, for those who have participated in our campaigns, tuned in to our AMAs, given us feedback in our Discord or Telegram, your continued support has been instrumental in helping Magpie Protocol thrive and build.

We can’t wait to see what the new year holds, but we know at the very least, there will be more features, more partnerships, more blockchains, a whole lot of abstraction, and of course, more ways to make sure you can get the best price in DeFi while swapping any token to anywhere, anytime.

We’re incredibly eggcited to announce the Magpie dApp will be live and fully operational on Sonic, the fastest EVM Layer 1 blockchain so users and other protocols alike can use Magpie to send assets at super sonic speeds on day one of the Sonic mainnet launch.

Magpie: Boom Winner & The Best Aggregator on Sonic

Magpie has won the Sapphire award from the Sonic Boom initiative, which means we were one of ten protocols to share in the second place tier. What this means for our community is that our community and Magpie will be incentivized to do activity on the Sonic mainnet once it launches. Taking advantage of their super sonic speeds, low fees, and incredible ecosystem, Magpie will be able to provide easy access and the best pricing by leveraging our unique routing and aggregation algorithm and Sonic will be able to offer an incredibly efficient and user-friendly experience for its growing ecosystem and community.

Sonic: Magpie’s Nesting Grounds

Sonic offers unprecedented scalability and performance, with an exciting ecosystem on the horizon as well, due to their incredible support and incentives for projects and developers. Let’s quickly go over just a few of the advantages of Sonic and why the birds at Magpie plan for it to be our home nest (chain).

Sonic offers developers unprecedented scalability and storage with a streamlined experience for users.

• Super Sonic Speeds: incredibly fast transaction speeds, at under one second confirmation times, enabling real-time applications for a seamless user experience.
• High Throughput: Sonic can handle a massive number of transactions per second, around 10,000, ensuring efficiency and scalability.
• Low Fees: efficient and optimized gas costs result in average transaction costs of under $0.01, making it one of the cheapest blockchains out there.
• Security: Sonic uses a proof-of-stake, DAG-based, ABFT consensus mechanism, creating an efficient and safe blockchain.

Sonic’s Revolutionary Monetization Model: FeeM

One of the key advantages of the Sonic network is its innovative FeeM monetization program, which offers projects built on Sonic up to 90% of the gas fees generated by their apps on-chain. By incentivizing development and rewarding projects and protocols, Sonic can support a vibrant and healthy ecosystem by providing projects with sustainable income.

Magpie’s Utilization of FeeM

Magpie will leverage the FeeM feature to optimize user experience and reduce transaction costs. By allocating a portion of the recovered gas fees to users, Magpie aims to provide a more cost-effective and rewarding platform for trading assets.

Magpie: A Powerful Partner

Not all you birds out there may be familiar with Magpie, so let us introduce ourselves and give you a brief rundown of what we have to offer. Magpie offers state-of-the-art aggregation, supporting thousands of assets with the best pricing, for on or cross-chain swaps. Now let’s dive into a few benefits of Magpie Protocol:

• Seamless User Experience: Simplifies the process of interacting with multiple blockchains, providing a unified and intuitive interface. When going cross-chain, users can swap whatever token they wish for whatever token they want on either chain, not limited to native assets or stablecoins.
• Optimized Performance: Magpie’s unique order routing algorithm and aggregator provide the most efficient routes and best pricing as it will fly (route) through essentially any token, not just native assets and stablecoins, and pull liquidity from as many pools as possible to complete the swap, with increasingly better pricing the larger the swap.
• Enhanced Security: Prioritizes security, is non-custodial, and employs robust measures to protect user funds and information.
• Community Support: Monthly community campaigns with rewards and Townhall meetings to keep the pulse on community wants and needs, fostering collaboration and to help build the project into the best it can be.

This strategic integration between Magpie Protocol and Sonic is a significant milestone in the evolution of our protocol. Combining Sonic’s cutting-edge blockchain technology with Magpie’s powerful aggregation will enable us both to fly at new speeds, higher heights, and unlock eggciting opportunities for the DeFi community.

The birds here at Magpie are all about helping our community and DeFi users at large fly through DeFi by giving everyone an exceptional DeFi experience, and today we’re excited to share the latest dApp update that makes our protocol powerful, efficient, and user-friendly. So without further ado, let’s flap on down below to go over all of our new enhancements.

🫡 Gasless Swaps

Fly away from the hassle of keeping native tokens in your wallet just for gas fees, our new gasless swaps feature lets you trade tokens without paying gas fees in native tokens. Instead, gas fees are deducted from the token you sell by using your wallet signature and the Magpie relayer. Transactions are executed seamlessly and are much more cost-effective, efficient, and user friendly.

✅ Token Permits: Approvals Made Effortless

Managing token approvals isn’t generally a big deal, but it can be frustrating to constantly approve them, but not anymore! Magpie now supports token permits, enabling seamless and secure token approvals.

🔄 LP Token Trading

The Magpie dApp now supports LP token trading for UniswapV2 and Curve-based protocols. Essentially, it acts as a simple swap but under the nest (hood), but the underlying tech and functionality could allow us to enable you to add, remove, deposit, or withdraw liquidity directly from various sources. We’re all about giving our community more control and opportunities in the DeFi ecosystem.

💰 Comprehensive Token Support (With a Twist!)

Magpie supports all tokens, even those with custom functionalities like fees and/or commissions. For tokens such as these, with unreliable pricing, we’ve got you covered: we’ll highlight that they may be unreliable or distorted so you can make an informed decision.

🤝 CCTP Bridge Integration

We’ve integrated the CCTP Bridge, enhancing cross-chain compatibility and efficient asset transfer between different chains. Moving your assets across chains is about to get much smoother. This is done via Axelar General Message Passing (GMP), which Magpie has integrated and now supports.

💧 New Liquidity Sources

We’ve added a roster of new liquidity sources: MaverickV2, DFX Finance, SwaapV2, Bebop, Ankr, and more. More options mean Magpie can continue to provide the best prices for all your DeFi needs.

🔗 Affiliate Fees for API Consumers

To all of our incredible API partners, you can now implement custom affiliate fees and define their affiliate address. Once this is completed, the fees will be automatically deducted from their user from the fromasset (asset sold by their user) and distributed to the affiliate address in the same transaction.

✨ Eliminating Cross-chain “Accept New Quote”

One of the most common concerns brought up by the community was the “Accept New Quote” flow on cross-chain swaps where the price of an asset would change and essentially stop a swap in its tracks until a new quote was accepted. Well we’ve got some great news, this is changing!

Now, if there’s a price deviation on the destination chain, the Magpie relayer will step in and complete the swap by sending you the intermediary token immediately, instead of the target asset. No more failed transactions, just smooth flying, every time.

🏅New Leaderboards

Each week, we’ll be posting weekly leaderboards directly on the Magpie app website that come with weekly rewards, so you won’t want to stop swapping!

📄 Contracts Upgrade: Faster, Smarter, Cheaper

Our contracts just got a massive upgrade and are now highly optimized for gas efficiency! By incorporating assembly code where we securely can, the birds behind the scenes have been able to significantly reduce gas consumption. With this upgrade, the Magpie bridge contract on the destination chain can now directly transfer the intermediary asset to the user upon receipt from the selected bridge. As such, if the target asset is an intermediary token, it can be sent immediately, which cuts transaction costs compared to the previous contract.

If you want to swoop in and dive deeper into all the technical details, check out our Magpie V2 Smart Contracts Specification Document, and as always, feel free to fly over to our Telegram or Discord to tag us with any questions you may have.

Magpie is constantly evolving, and these updates are really just the beginning. Whether you’re a seasoned DeFi pro or just getting your beak wet as they say, we’re here to make your journey as seamless and efficient as possible.

Magpie is all about flying through DeFi, and part of that means looking fly while doing it, which means we love ourselves some sneakers and the sneakerhead community. If you weren’t aware, sneakers are known for their exclusivity, high demand, counterfeits (boo!), and retailers/resellers who take advantage of all of the above. Sneakerheads already know the process of storing, searching for, buying, or even just safely showing off your collection could be a lot better and is currently a pretty major pain point.

So what do sneakers have to do with DeFi?

We’re glad you asked.

First off, there isn’t much better than flying through DeFi, going where you want, when you want, and getting the best prices on what you’re looking for, is there? So why shouldn’t that be the case for real-world assets (RWAs) as well? NFTs open up an entirely new world of possibilities for buying, selling, or trading online, and here at Magpie, we’ve always got our eyes peeled for innovative projects that enable DeFi users new and exciting ways to use their assets, both digital and real.

Another project that’s all about making sure their users look fly as hell is MetaZ.

🤔 What is MetaZ?

METAZ is an incredibly innovative tokenized sneaker (RWA) platform wherein each NFT represents an actual, physical pair of authenticated sneakers, all of which are securely stored in a temperature and humidity controlled vault. Unlike most NFTs, which are purely digital collectibles, these are RWAs, so when users trade, buy, or sell them, not only is the NFT transferred to the new owners wallet to show off, as they are directly tied to a real pair of sneakers, ownership of the physical pair of sneakers also changes hands, er, feet.

Let’s talk a couple more benefits to the METAZ platform: they have over 890 authenticated sneakers in their vault that are ready to be traded on their marketplace with the lowest fees (0 fees for buyers!) out of any sneaker resale platform. Additionally, they have a free sneaker custody service: any user or sneakerhead can store their sneakers in the METAZ vault (Located in Korea and the US) — all free-of-charge (provided it is in Deadstock condition). In the works, METAZ will be integrating more DeFi elements into the platform — allowing sneaker collectors to receive loans and more, all by using their sneakers as collateral.

If you’re a sneakerhead, or just looking to buy or sell some sneakers, METAZ is where you’ll want to be, and the best part of it all is that in addition to showing off your sneaker collection online, in just one click, holders can redeem their NFTs to have the physical pair of sneakers shipped to them direct from the vault.

🤝 Magpie Steps in to Help

Magpie supports over a dozen chains and thousands of assets, which enables our users, and now any sneakerhead, to use ANY asset from ANY of our supported chains to buy or trade their sneakers through MetaZ. With this collaboration, users from all over DeFi will have the power to buy, trade, or sell sneakers using any asset from any chain.

Ready to look fly? Head on over to https://metaz.io/explore to check them out and step into the future of collectible sneakers.

One of the goals of DeFi is to be the future of finance, but one of the many obstacles in the way are centralized exchanges, who still control roughly 85–90% of total crypto volume each day. We aren’t going to delve into the intricacies between centralized and decentralized finance, but rather focus on a couple aspects our new B2B partner is working on solving for DeFi: time-based and limit orders, and access to more liquidity.

While many new blockchains have incredibly fast finality and ultra cheap swaps to compete with centralized exchanges, a few issues that still loom over DeFi is that of liquidity access and more advanced trading features, such as dollar cost averaging (DCA) or creating on-chain limit orders. Even for many projects who operate fully on decentralized blockchains, their users are often better off purchasing tokens on centralized exchanges, where they will have upwards of 5–10x the liquidity or depth, the ability to DCA into the project over time, or set up limit orders to get a better price. If a user needs to use a centralized exchange before taking part in DeFi, in addition to requiring know-your-customer (KYC), it adds a larger barrier of entry to DeFi by adding even more steps to the process of utilizing a DeFi protocol or playing a blockchain game.

Our new B2B partner, Orbs, is working to change that, and close the gap between centralized and decentralized finance. First, let’s swoop down and learn a bit more about the Magpie API and what it offers, then we’ll tell you all about Orbs, what they’re doing, and how the integration between our two protocols will work.

Magpie API

Magpie offers its API for other DeFi platforms looking to leverage its cross-chain capabilities. This API provides endpoints designed to cater to various aspects of quotes for on-chain swaps, cross-chain swaps, bridge types, liquidity sources, etc.

Magpie API endpoints facilitate a range of functionalities. These include quotes for the swaps, balances, and networks supported for swapping and more complex operations like distributions. Each endpoint has detailed documentation telling developers of its specific purpose, required input parameters, and the structure of the output data as well as clear examples of usage.

Magpie’s API gives DeFi platforms an opportunity to provide their users with a larger pool of trade prospects in a capital-efficient way rather than limiting swaps to a handful of native assets and stablecoins. For instance, integrating with Magpie allows protocols who have integrated with Orbs access to thousands of tokens that users can securely and efficiently swap cross-chain.

What is Orbs?

To borrow from Orbs themselves: Orbs is a decentralized Layer-3 (L3) blockchain infrastructure designed specifically for advanced on-chain trading. They improve on-chain trading by providing technology for aggregated liquidity, advanced trading orders, and decentralized derivatives.

This is made possible by enhancing the capabilities of both EVM and non-EVM smart contracts without moving liquidity onto a new chain. Their unique approach creates a decentralized backend that brings centralized finance level execution into DeFi.

Orbs is a Layer 3 blockchain that acts as an intermediary execution layer for Layer 1 and 2 blockchains by facilitating complex logic and scripts beyond what a smart contract can handle in order to push forward the capabilities of DeFi. The main focus of these features is Orbs own protocols dLIMIT, dTWAP, and Liquidity Hub. dTWAP allows for DEXs to facilitate time-based orders, such as dollar cost averaging, dLIMIT allows for DEXs to implement limit-orders that are executed on chain, and their Liquidity Hub gives DEXs access to liquidity sources they wouldn’t otherwise have access to, such as market makers, additional cross-chain liquidity pools, and even liquidity from centralized exchanges.

Orbs is working towards giving DeFi users both a better experience in DeFi and better pricing.

Where does Magpie come in? 🦅

Now that we know what Orbs is and what they offer, where does Magpie come in?

Magpie Protocol will play a crucial role in enhancing Orbs’ offerings to its user base by ensuring they get a competitive price on their platform. Orbs will be aggregating Magpie into its platform and will use Magpie for swaps when our unique order routing algorithm finds a better price on assets for their users.

We’re incredibly excited to welcome Orbs into the Magpie nest as well as becoming part of their network and look forward to helping them deliver even greater value to the DeFi community!

Today we delve into our token: $FLY. We believe that transparency, community involvement, and protocol innovation are paramount for a project so we want to be certain that FLY stands out among DeFi protocol tokens in both its utility and reward structure offerings for our users.

Our team has dedicated significant time and effort to create an ideal ecosystem so that FLY can keep to its name. We aim to help our community navigate the DeFi landscape with ease while maximizing utility and benefits. As a strong, engaged community is the key to continued growth and success, it is important that our token reflects this.

At Magpie, we are confident that FLY showcases our commitment to our community and investors alike and embodies our dedication to innovation within DeFi.

Vision for FLY and the Magpie Ecosystem

Our vision for the FLY token and Magpie ecosystem is to create a circular economy where the value generated by the protocol is accrued back to the FLY token stakers. This approach will help drive value for our community and the protocol as a whole.

In this blog post, we will explore the various aspects of FLY: its utilities, tokenomics, community initiatives, and future roadmap. Dive in to discover how FLY is poised to shape the future of Magpie Protocol and learn why being a part of our community will be an exciting and rewarding experience.

Utility

$FLY offers a lot of utility, which makes it a versatile and valuable asset within the Magpie Protocol ecosystem.

• Gas discounts: Receive gas discounts that increase based on how much FLY staked and WING token held in wallet.
• Staking: Stake FLY to earn a percentage of protocol fees. This feature will be implemented once the Magpie dApp reaches a critical monthly volume.
• Chain Abstraction: Enjoy a centralized exchange-like experience which leverages on-chain liquidity, cross-chain messaging, and Magpie’s aggregation system. This system abstracts away the complexity of using multiple different blockchains, making for a cohesive multi-chain DeFi experience. FLY will be one of the primary pieces of this system, on top of facilitating staking, gas discounts, and more.

By offering these utilities with much more planned for the future, FLY enhances the user experience and drives value back to the Magpie Protocol community of stakers.

Staking at Launch

FLY Staking introduces a new level of flexibility and rewards for our users. These features below will go live with the Token Generation Event (TGE), bringing immediate utility to the token.

• FLY Dashboard: Manage all aspects of staking from the FLY Dashboard, including claiming your FLY, staking, and monitoring your activities within the Magpie Ecosystem!
• No Cap Limit: Enjoy complete flexibility with no minimum or maximum token limits for staking.
• Mint WING by Staking FLY: Stake FLY to mint WING, with the amount of WING generated based on the amount of FLY staked and the lock-up duration.
• Increased Rewards: Mint more WING by locking your FLY for longer periods, incentivizing longer-term commitments to the ecosystem.
• Non-Transferrable WING tokens: WING tokens are non-transferrable and can only be held in your wallet. WING is minted by staking FLY and is burnt when you unstake FLY.
• Early Unstake Penalty: If you choose to withdraw or unstake FLY before the lock-up period ends, a penalty will be applied based on the remaining lock-up duration.
• Gas Discounts: Receive gas discounts based on the amount of WING held. The discount formula will be detailed in a later blog post, with greater discounts for more FLY staked.

Future Plans for Staking

Building on the foundation of our staking system, we will continue to introduce more features and benefits. We aim to create an adaptive and evolving system, shaped by community feedback, product research, evolution of Magpie Protocol, and consultations with token economics experts. Our future staking plans are a work in progress, and could change as we take in feedback, but our goal remains the same, to maximize incentives, utility, and rewards for our community.

Let’s dive into a short preview on what we’ve got planned for some future updates to staking:

• Upon reaching a critical monthly volume, we will introduce this feature to share the revenue generated by the protocol fees with FLY stakers.
• FLY stakers will be able to take part in Magpie Protocol governance, helping to shape the future of the protocol.
• FLY is going to be a primary piece in our Chain Abstraction update, which will allow users to enjoy a centralized exchange-like experience with on-chain liquidity.

🪙 Tokenomics of $FLY

Our tokenomics model is designed to ensure sustainable growth and fair distribution of FLY, with the community at the forefront of importance to Magpie.

• Total Supply at Launch: 100,000,000 $FLY.
• Max Supply: 100,000,000 FLY with a possibility of increasing up to a total capped supply of 106,000,000.
• Inflation and Deflation Mechanism: There will be no tokens added or removed from the supply.

Over half of the FLY token allocation is dedicated to our community, reflecting our commitment to them and to the long-term success of the project.

Community is Important

Successful projects like 1inch, LayerZero, Uniswap, and Wormhole have shown the power of a strong and engaged community. Their growth and success are in large part due to the active participation and support of their community members, as well as the utility of their tokens.

These projects and protocols serve as inspiration for how to effectively involve the community, giving the Magpie team encouragement for the future of FLY and the Magpie Protocol ecosystem. By fostering a robust community, we aim to replicate their success and drive the growth of our own platform.

Magpie Mafia: Our Community 🐦

To continue our discussion on community, we want to highlight our amazing supporters and community members who have been integral to our journey. We are deeply grateful for your participation and support. In the spirit of transparency and trust, we have made concerted efforts to communicate openly about many aspects of our protocol.

Magpie Mafia is our initiative for fostering a vibrant and engaging community. Through this initiative, we aim to create an engaging and fun experience for our members.

Here are a few of the ways you can benefit by being a member:

Campaign Rewards: The largest swappers in each campaign earn a portion of the rewards and many of our campaigns send rewards directly to a handful of random participants.

Evolving NFTs: Earn new costumes and weapons as you use the protocol. Your NFT evolves based on your volume, making it a cool way to showcase your involvement within the community as a profile pic in Discord or on Twitter.

FLY Rewards: Earn FLY rewards for participating and contributing to the protocol by using it.

We have dedicated over 55% of all FLY tokens to the community, which is significantly larger than many other protocols, often by 50–100%. This substantial allocation reflects our deep commitment to our community.

The initial token airdrop for Magpie Mafia members will be between 0.5–1.5% of the total supply, with zero vesting. Additionally, the Drip launchpool allotment will also have zero vesting.

We care about our community and want to show it through these allocations. Thank you for being a vital part of our journey! 🙏

Reward Algorithm and Weightage

Our reward algorithm is designed to benefit all of our users, both small and large, through a fair distribution mechanism that incentivizes using the protocol as intended, particularly for cross-chain swaps. While larger users will naturally see larger rewards, our weightage system prioritizes cross-chain swaps.

Each user who has utilized Magpie for swaps, whether for on or cross-chain, contributes to the success of Magpie Protocol. Therefore, we have structured the rewards to ensure everyone has an opportunity to benefit, reinforcing our commitment to a fair system of distribution.

Positive Interactions ✅

• Magpie Alpha Transactors: Transactions conducted by Magpie Alpha NFT holders before the Magpie Mafia event.
• Magpie Mafia NFT Holder: Ownership of a Magpie Mafia NFT is considered a favorable factor.
• Cross-chain transaction: Cross-chain transactions are highly valued, as the experience points (XP) gained from these transactions are higher than on-chain transactions.
• Non-Stablecoin Volume: Non-stablecoin swaps positively impact your score, rewarding diverse asset transactions.

These positive interactions enhance your weightage within Magpie Protocol, ensuring recognition and rewards for active and meaningful participation.

Spam Behavior 🚫

• Frequent Stablecoin Exchanges, Reverse Swapping/Circular Trading, & Stablecoin Volume: Excessive stablecoin swapping and volume are considered spam-like behavior and are counterproductive to the platform’s intent.
• Spam Behavior Consequences: Volume generated in spam sessions will be weighted lower, with an exponential reduction for persistent spamming.
• Sybil Behaving Address: Addresses with “Sybil behaviors,” such as having similar transaction patterns and being related to each other through one or more transactions.
• Severe Abuse: Addresses which are engaged in both “spam behavior” and “sybil behavior” simultaneously are considered Severe Abuse.

These measures ensure the integrity of the platform by discouraging and penalizing activities that undermine the platforms intended use.

Love for Other Communities

We deeply value the support we have and the collaborations we’ve done with various communities, from those who have been with us from the beginning, to our new partners. Through their support and collaborations, we have grown significantly as a protocol. We are thrilled to be working with a diverse range of projects, and we look forward to showcasing some of these outstanding collaborations in the coming weeks.

Our future plans include airdrops, collaboration, strategic alliances, and partnerships with several big and popular projects in the space. Details about these initiatives will be revealed as we announce the list of strategic and launch partners. Please note that some of these airdrops may include vesting schedules.

Your ongoing support and engagement are crucial to our continued success, and we look forward to sharing more exciting developments with you soon! 👀

🦅 Magpie Mafia Season 2: What to Expect

Magpie Mafia, our loyalty program, is gearing up for another exciting season! But first, we want to remind everyone that the Magpie Mafia Season 1 Snapshot has not been taken, so there’s still time to earn XP!

As we transition to Magpie Mafia Season 2, we will continue holding campaigns so that community members can enhance their NFTs, earn XP, and have a chance to win some prizes.

Here’s a little teaser on what you can expect in Season 2:

• Yakuza Themed Japan 🇯🇵.
• Features: Transferable NFT (limited supply), Magpie Gangs, and new features to help accrue value back to token holders and the Magpie Ecosystem.
• Rewards: New monthly campaigns with monthly allocation up for grabs for both gangs and individuals.

We want to thank you all for joining us on this journey. In the evolving landscape of DeFi, it is crucial to present new opportunities and incentives to our community and investors through our tokenomics model. We hope to foster an even more incredible community that continues to grow, enabling us all to navigate DeFi with ease.

⚠️ Safety Notice

Users and readers are advised to be cautious and remain vigilant against potential scams. Users do not need to claim their Magpie Mafia airdrop, so do not trust any links saying as such. Verify that any webpage linked to Magpie Protocol is hosted under the magpiefi.xyz domain, this is crucial to staying safe from scams and phishing attempts. All official community and social channels are also listed on official web pages. Magpie-affiliated moderators and team members will never reach out to you first or solicit any kind of personal or passphrase information.

This is not an offer to sell or the solicitation of an offer to purchase any FLY, and is not an offering, advertisement, solicitation, confirmation, statement, or any financial promotion that can be construed as an invitation or inducement to engage in any investment activity or similar. You should not rely on the content herein for advice of any kind, including legal, investment, financial, tax, or other professional advice, and such content is not a substitute for advice from a qualified professional.

This document contains hypothetical, forward-looking, and/or projected figures which are not guaranteed and are subject to change; actual numbers may vary. Magpie makes no representation or warranty, express or implied, as to the completeness, reliability, validity, or accuracy of this information. The content herein is not error-free and may contain incorrect information. You agree and acknowledge that any information contained herein is subject to change without notice. No advice or information, whether oral or written, obtained from Magpie Protocol, will be construed to create any warranty or representation not expressly made herein.

What’s up birds? Have you ever wished you could trade more often and not just HODL, or need some help building that nestegg? Today we’ve got some ALPHA for you. If you actively trade or participate in DeFi you probably have similar feelings about times you wanted to buy or sell but you missed the timing due to sleeping, being at work, or maybe you’re just living life. It’s hard to keep your finger on the pulse of DeFi at all times, and for a lot of people, that means just HODLing or hoping you’re online at the right time for that primo trading opportunity. Enter: Mainline ALPHA. Today, we’ll be going over our API, what Mainline is, what they offer, and how Magpie Protocol is involved.

Magpie API

Magpie offers its API for other DeFi platforms looking to leverage its cross-chain capabilities. This API provides endpoints designed to cater to various aspects of quotes for on-chain swaps, cross-chain swaps, bridge types, liquidity sources, etc.

Magpie API endpoints facilitate a range of functionalities. These include quotes for the swaps, balances, and networks supported for swapping and more complex operations like distributions. Each endpoint has detailed documentation telling developers of its specific purpose, required input parameters, and the structure of the output data as well as clear examples of usage.

Magpie’s API gives DeFi platforms an opportunity to provide their users with a larger pool of trade prospects in a capital-efficient way rather than limiting swaps to a handful of native assets and stablecoins. For instance, integrating with Magpie grants Mainline ALPHA access to thousands of tokens that users can securely and efficiently swap cross-chain.

The Magpie-Mainline ALPHA co-integration is completely abstracted from the user to create a trading experience that would otherwise be impossible with existing bots.

What is Mainline?

Mainline is an Omni-Chain, AI Powered, Auto Trading Co-Pilot bot that utilizes their own proprietary social intelligence algorithms, which has been refined over the last three years and contains information from the market & on-chain data, to help predict price movements. Using this data, combined with some advanced mathematics and their novel machine learning models, Mainline ALPHA can reveal market trends and offer informed and automated trades for its users.

Most of the articles that talk about learning to trade, there is always one common denominator, emotions, and how to take emotions out of trading. Emotions can keep you from buying when the time is right, or selling at a bad time, or simply holding onto a loss hoping something changes. While AI can’t fix everything, and isn’t a guarantee, it can at least take emotion out of the equation and use years of real-market data to make its decisions.

What do they offer?

Mainline ALPHA offers each user a personal AI, which is configured to your specific trading preferences and learns from each time the user interacts with it. Want to play it safe and just have it send you some alerts, you can do that. Want to pick some tokens and have it only trade on those, just set it up. Or do you want to give it free reign to buy anything, also an option.

Mainline ALPHA lets you choose your risk and automation level, so you can be comfortable. It also doesn’t store your private keys, and keeps you in control of your assets, you don’t have to sign them over.

Where does Magpie come in?

So, we know what Mainline is, and what they are offering, but what does Magpie have to do with them? Mainline is the first project to use Magpie Protocol’s API for integration, and all trades done through the Mainline bot will be done through Magpie Protocol! This means that users of the Mainline ALPHA trading bot will be able to leverage our proprietary routing algorithm, making sure they get fast, secure, and efficient swaps.

We’re incredibly excited about Mainline ALPHA and happy to have them in the Magpie nest. If you haven’t had a chance to listen, fly on over to our Spaces with them over on Twitter (X). Give them a look here and be sure to keep those eagle eyes peeled on our socials for all upcoming updates!

On April 23, 2024, Magpie Protocol was alerted of a vulnerability in its MagpieRouterV2 smart contract that allowed a hacker to make away with $129k from 221 wallets. In response, Magpie quickly paused and shut down the dApp to prevent further loss of funds as they worked on a patch.

The Magpie team eventually fixed the bug and implemented changes to prevent any further exploitation of the protocol. All affected users were also fully reimbursed with the asset they originally lost on the chain they lost it on in the two weeks following the incident.

2024 Crypto Hacks in Hindsight

Magpie Protocol hasn’t been the only crypto platform to suffer an exploit in 2024. Since the start of the year, there have been over a dozen high-stake hacks in DeFi, the most recent one involving the AI network Gnus.AI.

On May 5, Gnus.A1 lost around $1.27 million to a token-minting exploit. A few months before that in March, Prism Finance had lost $10 million while Mozaic Finance lost $2.5 million in separate incidents.

Other hacks include PlayDapp ($290 million), Abracadabra Finance ($6.5 million), Concentric.fi ($1.8 million), Socket.Tech ($3.3 million), Gamma Strategies ($3.4 million), CoinsPaid ($7.5 million), Radiant Capital ($4.5 million) and Orbit Chain ($80 million).

Magpie’s quick action was able to cut the exploit short and prevent further damage, ensuring any further damage was a fraction of the size.

A Brief Introduction to the Magpie Protocol

Magpie Protocol is a decentralized, liquidity aggregation protocol for cross-chain swaps. It is designed to solve two major issues in DeFi: bridging and liquidity aggregation.

Focusing on user experience (UX), speed, security, and gas fees, the platform is engineered to provide the best deal on any asset across the top blockchains without the user needing to bridge the asset themselves, providing a fast and gas-efficient solution to cross-chain swaps.

Magpie’s prioritization of UX has unlocked a new level of convenience in cross-chain swapping across the top blockchains. The protocol replaces the costly, multi-step, and multi-platform operation of traditional swapping with an all-in-one transaction that incurs the gas fees of a normal swap.

Once a user connects their wallet to the platform, they are presented with a single interface, which only requires them to select the tokens to swap, select the corresponding blockchains, and permit Magpie to spend their tokens. The protocol then finds the best price and route before sending the swap signal cross-chain.

Unlike most bridging protocols, which are limited to native gas tokens, stablecoins, and the protocol’s tokens, Magpie allows users to swap non-gas tokens. This gives traders a wide variety of assets that they can trade cross-chain.

How was the Protocol Hacked?

Magpie Protocol’s router, MagpieRouterV2, is designed to not require continuous contract updates for every protocol and to optimize user gas usage. It allows the team to construct complex calls that help the protocol work gas cost efficiently with almost any protocol.

The hacker targeted this router’s function selector, exploiting a vulnerability that allowed them to bypass the router’s security check and divert funds to their address. They managed to steal $129k from 221 wallets.

Fortunately, this exploit was discovered quickly and the protocol paused to prevent further losses while the team fixed the vulnerability. Magpie Protocol is now safe and secure to use. All users who lost assets in the attack have also been fully refunded within two weeks.

Building a Safer Platform

Magpie Protocol takes this event very seriously. While the vulnerability has been fixed, the protocol is taking additional steps to improve and guarantee the security of user assets in the future.

Currently, the protocol is working with Quill audits to ensure all its code is secure. It is also integrating Cube3ai monitoring, which uses machine learning bots to identify on-chain threats in real time and provides scores for transactions, wallets, and smart contracts. This system will alert the Magpie team of any suspicious activity, giving them time to respond before any significant damage is done.

On top of these, Magpie Protocol is planning to introduce intent-based swaps. These allow users to initiate transactions by stating their desired outcomes, such as asset swapping or providing liquidity, which Solvers retrieve and use to strategize and execute optimal solutions on the target chain.

Magpie Intents will diversify liquidity access, lead to better pricing, and mitigate pricing while allowing for more seamless cross-chain swaps.

Why Use Magpie?

Magpie is committed to building a robust platform that ensures the safety of user assets. Today, the protocol provides a fast and gas-efficient solution to cross-chain swaps that is cheaper than the competition over 90% of the time. This means Magpie users can quickly and securely obtain the best deal on any asset across the top blockchains without needing a crypto bridge, placing the protocol among the top opportunities currently available in DeFi.

If you’re here for the quick rundown, here’s the TLDR:

• $129k was stolen from 221 wallets.
• Exploit was identified and the bug has been fixed. Changes have been implemented to restrict any further exploitation.
• Funds are now SAFU.
• No further action needed from users. We will notify users once the app goes live again.
• Compensation: all users affected have been reimbursed in full, with the asset they originally lost, on the chain on which they were affected.

How it was supposed to work

Our router, MagpieRouterV2, is supposed to work as a router, nothing more. Which means it is not supposed to have funds and only do the required aggregation and send the tokens to the target address. We made our router flexible for aggregation in a way that we can construct complex calls which helps us to work gas cost efficiently with almost any protocol (it doesn’t require continuous contract updates for every protocol, and more importantly, optimized user gas usage).

From a security standpoint, one of the most important parts is the function selector. The function parameters shouldn’t be an issue since the contract is not supposed to hold funds and from the user’s perspective the most important thing is at the end of execution the minimum amount of the requested asset has to be received. With this, the most critical issue was to deny transfers from approved funds if the initiator is not the user itself.

What happened?

The way we construct our commands had a bug where we check for the validity of the selector, and the constructed input length, but not the position of the selector. The exploiter created an address which starts with one of the approved selector.

The Problem

The attacker constructed a command that:

1. Created a custom data sequence:

23b872dd000000000000000000000000dd21d4610dc36792372769758e53aa9e312b14a0000000000000000000000000

2. Next sequence was the selector selected from storage:

e8eda9df

3. Then another custom data sequence was created:

edb228aa0cfd2c2f809a4418d0319eb20000000000000000000000000000000000000000000000000000000023c34600

So the exploiter could inject this address into the input:

0xe8eda9dfedb228aa0cfd2c2f809a4418d0319eb2

Through doing this, he skipped the check for `InvalidTransferFrom` which we used to protect exactly against this sort of attack. At the end he used his generated address which starts with the selector itself, while he still defined the required selector.

The Attacker

We have contacted the attacker, and we have gotten no response back as of this writing. If you are reading this, we would be extremely grateful to provide a generous bounty and would obligate ourselves not to disclose any information about your identity.

Temporary fix

Resetting all selectors to 0 prevents this exploit since there is a check in the contract to not execute any custom calls where the selector is not defined.

Solution

We will check the selector in the finalized input before the execution of the command to make sure it cannot execute `transferFrom` if it is not initiated by the sender. We will add a pause functionality to the swap just in case if any future emergency happens.

We are also considering adding a 3rd party to our contracts to monitor and pause our swaps if any unusual activity happens.

Those who helped

Want to use this section to highlight the individuals and groups who have helped us during this time of emergency. A personal thank you for your efforts in helping us to @pcaversaccio from SEAL 911 and Mudit Gupta. They helped us to confirm the issues, test the exploit, and in confirming the fix so that the exploit could not be repeated. Thank you again!

Next Steps

We are in the process of integrating tools that increase the security of our contracts in the next version.

We are in contact with Cube3AI, Hypernative, among others to secure the next version of our contracts. With a protocol like Cube3AI, it would enable RASP (Runtime Application Self Protection), allowing us to block risky and fraudulent transactions in real-time. This will also automatically alert anyone to an attempted exploit or hack.

Additionally, we are integrating Web3Shield as our insurance partner, which allows our users to get insurance by paying a premium in the same token they are swapping when bridging assets.

Community Reimbursement

Last, but certainly not least, We have just recently sent our reimbursements to all of the affected wallets. We are dedicated and incredibly thankful for our community and want to thank you all for being so understanding during this emergency situation. Until then, after the fix is applied to the contracts, we will conduct an audit with QuillAudits before releasing the new version, so our app will be down for maintenance until then.

The Magpie Protocol team would also like to thank our community members, who make this project possible, for understanding and being patient with us during this emergency situation. The community is the lifeblood of a project, and we had to make sure to make it right and will move forward with security as a continued priority.

For more news and updates about Magpie, join our Discord, Twitter, and Telegram.

In the rapidly evolving landscape of DeFi, innovations continue to reshape how users interact with blockchains. One such innovation is an Intent-based aggregation architecture, which is being explored by protocols such as Uniswap X and Cowswap, where Solver networks are being experimented with in order to provide users with better pricing and MEV protection. These systems, once implemented, will mark a paradigm shift that introduces efficiency, security, and flexibility into decentralized trading.

This article will dive into what exactly Intent-based swaps are, and then go into some of the key features and advantages of this architecture, exploring how it transforms the way users execute trades and access liquidity.

What are Intents?

First things first, we need to explain what exactly intents are, before going into their benefits and how Magpie plans to make use of them. Intents are signed sets of declarative constraints where the user outsources the transaction to a third party to be filled, without giving up control of their assets. As well, Intents introduce Solvers, and rather than swaps being tied to a specific liquidity pool, users sign a message with trade details, similar to a limit order. This message is then relayed to a Solver network, which, in turn, formulates it into a transaction, ensuring its addition to the blockchain. It’s sort of, but not exactly, like using Doordash or any sort of food delivery service around you: a user creates a list of what they want to eat from where, set a reward (tip), and then on the backend, Dashers race or compete to see who can claim it first in order to fill your order and be rewarded with the fees from the service itself plus the tip.

Magpie Intents work similarly, allowing users to initiate transactions by stating their desired outcomes, such as asset swapping or providing liquidity. The process starts when a user places a reward on the source chain, demonstrating the seriousness of their intent, which will act as an incentive for Solvers, creating a fair compensation system for their work. It can all be done with intents.

Understanding How Intents Work

Now that we’ve given a brief overview of what it means to create an intent, let’s explore how they work. First up…

-Solvers and the Solver network

Solver Engagement is a crucial element of Magpie Intents. They use advanced algorithms and strategic thinking to understand the user Intents in order to develop the best strategies for achieving the desired results on the destination chain, be that completing a swap or adding liquidity. But in order for Solvers to want to work, you need a Locking and Reward Mechanism.

-Locking and Reward Mechanism

A reward commitment on the source chain serves as a binding contract that reinforces user intent, ensuring the ecosystem is fueled by authentic, significant transactions. This reward is similar to a tip on your food delivery service. If you’ve ever worked in the service industry in a country with tipping, you know that those that tip, or give the best rewards, receive the best service. Locking in a reward will make sure that the Solvers want to complete your transaction, as they do want to lose money on it. So how does everything above fit together?

-Workflow in Action

Users define their intent and lock a reward on the source chain. Solvers retrieve these intents, strategize optimal solutions on the destination chain, and execute them. Magpie Protocol seamlessly translates intent into action through this well-defined workflow.

How about an example? For this intent, the user is stating that they’d like to sell $350 worth of ETH on the Ethereum chain at a price of $2900 to $2950 and receive an equivalent amount of MATIC on Polyon PoS.” Abstracted away from the user, the Solver network competes to fill the order where ETH is valued at $2950 moving down towards $2900, and as soon as it would be profitable for them to do so, they execute the transaction and are awarded the fees from it.

The proof of settlement on the destination chain provides a transparent validation of the completed transaction. The protocol also introduces time dynamics, allowing users flexibility in setting lock times, and solvers can strategically manage time through fine payments for extensions.

Why are they Needed?

While many are familiar with the current bridging process or wanting to swap for a token cross-chain is like, allow us to briefly go over the current process

1. Choose asset A on Chain A you’d like to swap for asset B on Chain B

2. Search for DEX on Chain A with ample liquidity of asset A

3. Find Bridge that supports Chain A to Chain B

4. Check which assets the bridge supports

5. Swap asset A for a bridge supported asset on DEX from Step 2

6. Bridge asset

a. Repeat Steps 2–6 if you need gas token on Chain B as well

b. Bridge gas token

7. Search for and find DEX on Chain B that supports Asset B

8. Swap for Asset B on Chain B

This current system requires a lot of manual swapping, and no less than three individual swaps that each have to be approved and have gas paid for. Each and every step has to be done every single time a user wants to move cross-chain. This can be burdensome for many users, and a process some will just not do at all from the inconvenience of it all

As a way to help alleviate these issues, intents can provide ways:

• For users to post limit-style orders so that they can buy an asset at a set price point without having to constantly pay attention to the market
• For users to limit their swaps to only authorized protocols or particular protocols either for safety purposes or if they want to make sure their volume is going through a particular liquidity pool
• For Protocols to offer gas sponsorship as an incentive to test out or use their protocol, paying for up to $X amount in fees per day/week/month
• To batch transactions together in order to get users better prices on a token and lower gas fees

What Intents Offer

-Diversified Liquidity Access

Unlike traditional exchanges limited to specific liquidity sources, such as Uniswap, Sushiswap, or other such DEX pools, in which users can only make swaps from the one pool that the DEX is tied to, Solvers in the Intent-based system have the flexibility to route orders through various on-chain and off-chain liquidity sources, as well as centralized exchanges, aggregators, and even other blockchains. This diversification ensures users receive the most favorable trade prices as having access to as many sources of liquidity as possible means that the Solvers can pull from whichever one currently has the best price.

-Competitive Order Fulfillment

Within an Intent-based architecture, Solvers compete to fill user orders at the optimal price so that they may be rewarded with the fees generated or provided for the swap. Users input their intent to sell or buy a specific asset at a desired price range, and Solvers strategically execute the trade, ensuring the best possible price for users. So how does this result in better user pricing? Solvers are encouraged to fill the order as quickly as possible, and as close to the target price the user set as possible, while still being rewarding or profitable for the Solver to do so. The Solver searches their network of liquidity, pulling from multiple sources if necessary

-Gas Fee Elimination

Users are relieved from paying gas fees directly. Instead of initiating a swap, users only sign an intent, and Solvers handle the transaction execution. This approach mirrors the model of food delivery services like Doordash, where users don’t pay delivery fees directly. Gas fees are covered by Solvers, who factor these fees into the executed transaction price. This means that users don’t necessarily have to have the native gas token as they are not the ones paying for gas fees, and could state within their Intent that the Solver accepts USDC as the asset paying for the swap.

-Price Improvement and Slippage Mitigation

Positive slippage is returned to users in the form of price improvement. This means that if the actual execution price is better than the specified price range, users benefit from the improved rate. Additionally, users are safeguarded against MEV strategies like sandwich attacks and frontrunning.

-Seamless Cross-Chain Swaps

Intent-based architecture extends its capabilities to cross-chain trading. Users can sign intents to execute swaps across different blockchain networks without waiting for bridges, which eliminates the need for complex cross-chain infrastructure, streamlining the process and making it much more user-friendly.

How is this faster?

With an Efficient Settlement Mechanism.

With intents, a user can lock their reward on the source blockchain stating their intent to swap ETH on Ethereum for MATIC on Polygon PoS. Rather than the normal process of using a bridge, the Solver can swap for the requested asset on the Polygon chain and mark the intent as filled on the source chain. Once settlement is verified on the destination chain, the Solver receives the user’s funds on the originating chain. This settlement process reduces waiting times for users engaging in cross-chain transactions.

Magpie Intents beta starts in Q2 of this year!

Intent-based aggregation architecture represents a significant leap forward in the evolution of decentralized trading. By abstracting away liquidity pools and hundreds of DEXs as well as dozens of bridges, diversifying liquidity access, and providing an extremely user-friendly process for both on and cross-chain swap experiences, Intent-based swaps empower users with greater control and security in their DeFi activities. As the cryptocurrency landscape continues to evolve, Intent-based trading will soar above the rest to address the challenges and limitations of existing DeFi exchange protocols.

Be sure to check out the Magpie Roadmap article, or click here for the short and sweet version. Come and join us on Telegram, Discord, & Twitter so that you can stay up to date on all of the latest campaigns and dApp updates!