Why do big investors love to trade on CowSwap? 🐮

CowSwap is the well-deserved intention paradigm DEX No.1. Just halfway through November, the trading volume has reached $2.8b, surpassing the $2.7b for the whole month of September.

However, this data growth mainly comes from retained users. For a long time, among CowSwap’s daily active users, new users only account for about 20% of retained users.

CowSwap has a relatively small user base, with a recent peak of only 2,200 unique addresses. However, its user profile is dominated by large users, and its average transaction size is $2,500, which is twice that of Uniswap.

Many institutions and large investors choose to use CowSwap for large transactions. For example, well-known DAOs such as Aave and ENS have completed large transactions of more than 20 million US dollars on CowSwap through the Milkman function.

They chose CowSwap for the following reasons:

1⃣Strong slippage management capabilities

--Solver will search for the best price path among major DEXs and off-chain liquidity

--Large transactions can be intelligently split into multiple liquidity sources to reduce price impact

--Support TWAP orders, spreading large orders over a longer period of time

--Batch Auction mechanism can optimize prices

2⃣Excellent MEV protection

--Orders in the mem pool are not visible to the MEV robot

--Solver competition mechanism ensures the best price

--CoW (Coincidence of Wants) mode realizes peer-to-peer matching to avoid attacks

--Provide a stable execution environment for large investors

3⃣Institution-friendly user experience

--Optimize the multi-signature wallet transaction experience to reduce the risk of missing out on prices

--Milkman contracts support future orders and automatic execution

--Supports programmed orders to facilitate Treasury management

--Bundle and execute multiple transactions through Hooks

4⃣ Potential profit opportunities

--Cooperate with projects such as Balancer to provide preferential rates

--No additional fees for CoW AMM pool transactions

--Surplus sharing under the batch auction mechanism

--Save AMM fees when matching peer-to-peer