@kwenta/synthswap

    1.0.3 • Public • Published

    SynthSwap

    Synthswap is a simple utlity contract that combines a 1Inch swap with the Synthetix exchanger enabling low slippage swaps into and out of synths.

    See ISynthSwap.sol for the current interface.

    Rationale

    At the time of writing this there are no single step methods for swapping from any ERC20 to any synth on Optimistic layer 2. The best way for a trader to begin trading on Kwenta is to swap their tokens for sUSD on Uniswap (or 1inch) and then swap their sUSD for their desired synth on Kwenta.

    Effectively, Synthswap combines the above process into a singular zap. This enables Kwenta to provide liquidity for swaps like USDT -> sTSLA or sETH -> ETH all within one transaction (excluding approvals) and eventually one interface.

    Documentation

    In Synthswap.sol there are two core functions: swapInto and swapOutOf. Both these functions take in a data payload that is returned from the 1inch API. This method leverages 1inch's off-chain routing functionality. For swapInto, delegatecall is used to execute the 1inch swap in the context of the EOA.* And for swapOutOf, call is used to execute the 1inch swap in the context of the contract.*

    It is also important to note that under the hood 1inch relies on two entrypoint functions in AggregationRouterV3.sol, unoswap for Uniswap like swaps, and swap for everything else. You will see these function selectors in our test payloads as 0x2e95b6c8 and 0x7c025200, respectively.

    The remaining parameters are dedicated to routing the Synthetix leg of the swap. The two Synthetix functions used are exchangeWithTrackingForInitiator (see SIP-140 for details) and exchangeWithTracking. The former is used to settle funds with the EOA caller and the latter is used to settle funds within the contract.

    *Subject to change with testing.

    Prepping Local Development

    Install local dependencies:

    npm install
    

    Provide ARCHIVE_NODE_URL in .env. Alchemy has free archive nodes:

    ARCHIVE_NODE_URL=<YOUR_ARCHIVE_NODE_PROVIDER_HERE>
    

    Deploy to Mainnet Fork

    Run a forked network locally:

    npm run fork
    

    Deploy Synthswap onto local forked network:

    npm run deploy:fork
    

    Running Tests

    To run all tests (unit and integration) under /test

    npx hardhat test
    

    To run integration tests:

    npm run test:integration
    

    To run utils tests:

    npm run test:utils
    

    Keywords

    none

    Install

    npm i @kwenta/synthswap

    DownloadsWeekly Downloads

    37

    Version

    1.0.3

    License

    none

    Unpacked Size

    775 kB

    Total Files

    45

    Last publish

    Collaborators

    • jaredborders
    • jchiaramonte