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The MuesliSwap team plans to give back money to users who lost funds because the DEX’s matching system caused big price changes.
The people in charge of MuesliSwap, a type of exchange using Cardano, have decided to give money back to users who faced high slippage issues in the past year.
They admitted that they didn’t explain the slippage feature in their system clearly enough.
Slippage means the difference in price when you try to do a transaction and when it actually happens on the blockchain.
Because of the way MuesliSwap was built, users were facing high slippage for a year.
MuesliSwap to Repay Users for Slippage and Fix Issue
MuesliSwap, the Cardano-based exchange, had a system where matchmakers connect buyers and sellers. These matchmakers could complete the order and either give back extra money from the slippage or keep it, which created confusion.
To fix this, MuesliSwap will use their own money to repay users who faced high slippage in the last year. They’ve also quickly worked to solve the slippage problem in their system.
Users Complain About Slippage on Cardano Exchanges
People have been talking about having problems with slippage on all Cardano decentralized exchanges (DEXs). On August 4th, a trader said that making a big trade on any Cardano DEX causes a big slippage, which reduces the value for traders a lot.
They said MuesliSwap was planning to create a DEX aggregator. This would help split big trades to limit the losses from slippage.
MuesliSwap is the fifth biggest thing on Cardano, with $17.3 million locked in it, as per DeFiLlama. But its value has gone down 27% since the start of this month and is 68% lower than its best point in April 2022.
In December, MuesliSwap made an “organic APR” feature. This increased the number of tokens given out as more people added their money into pools. It was a way to encourage people to put in more money.
Important: Please note that this article is only meant to provide information and should not be taken as legal, tax, investment, financial, or any other type of advice.