💰Swap

How it works

Aries Markets allows swapping for any Aptos assets and many more through HippoLabs trade aggregator.

This swap checks price and routes among various Automated Market Maker (AMM) behind the scene to ensure users automatically trade with the best rates in the Aptos ecosystem.

Check Hippo documentation to further understand the mechanism of Smart Routine.

Aries Swap enables you to swap across assets that are listed.

Please note that liquidity for each pair varies, and one should always account for slippage and price impact.

Leverage Swap

The Aries Swap product is built upon our Aries Lend, which means users can utilize Aries Swap to swap assets they not yet hold and gain leveraged exposure on assets. The funds that are deposited into Aries can also be used to swap and trade on various AMM markets.

By toggling on ”Allow Borrowing”, you will be able to borrow any token from Aries Lend pools directly and gain additional long exposure to trade.

Below are some examples:

	Successful Example 1	Successful Example 2	Successful Example 3
Before Swap	Deposit: 50 USDC Loan: None	Deposit: 50 USDC; 20 USD worth of BTC Loan: None	Deposit: 50 USDC
Swap	Buy SOL 100 USDC borrowed ⇒ 100 USD worth of SOL	Buy BTC 50 USDC deposited + 50 USDC borrowed = 100 USDC ⇒ 100 USD worth of BTC	Sell Aptos 100 USD worth of Aptos borrowed ⇒ 100 USDC
After Swap	Deposit: 100 USD worth of SOL Loan: 50 USDC	Deposit: 120 USD worth of BTC Loan: 50 USDC	Deposit: 150 USDC Loan: 100 USD worth of Aptos
Maximum borrow value	100 USD * 80% = 80 > 50	120 USD * 80% = 96 > 50	150 USD * 90% = 135 > 100

For simple cases such as USDC → some other coins, such as SOL/BTC :

$MaximumLeverage=\frac 1 {1-LTV_{Target Coin}}$​

You can check out the LTV of each supported asset from Assets supported.

	Boundary Example 4	Boundary Example 5
Before Swap	Deposit: 50 USDC	Deposit: 50 USDC； 100 USD worth of BTC
Swap	Buy SOL with USDC 50 original + 200 borrowed = 250 USDC ⇒ 250 USD worth of SOL	Buy SOL with BTC 100 USD worth of BTC deposited + 625 USD worth of BTC borrowed = 725 USD worth of BTC ⇒ SOL
After Swap	Deposit: 250 USD worth of SOL Loan: 200 USDC	Deposit: 50 USDC, 725 USD worth of SOL Loan: 625 USD worth of BTC
Maximum borrow value	250 USD * 80% = 200 ≤ 200	50 USD * 90% + 725 * 80% = 625 ≤ 625

In the Example 4, the maximum leverage is 1 / (1 - 80%) = 5x leverage.