Crypto MEXs Are Taking Over the Market With Deep Liquidity, Low Slippage, and Efficient Trading

Aggregators compare order book depth, fees, and slippage to find the most efficient trade route. They operate like brokers in crypto. When a user places an order through an aggregator, the order is executed on other exchanges, not the aggregator. This approach gives users access to multiple exchanges from a single interface.

Aggregators establish a broad network to secure optimal exchange fees and source liquidity by connecting to several exchanges. They can send orders for a specific trading pair to a chosen exchange, even when others also support that pair. Their main advantage lies in checking the exchange network for the best order price.

Both centralized and decentralized exchange aggregators have pluses and minuses. CeFi aggregators offer a distinct advantage regarding KYC. Users don’t need to undergo the repetitive and tedious KYC process with each individual exchange. They complete it only once with a CeFi aggregator. Yet, these platforms come with privacy and security risks.

DeFi aggregators are more transparent concerning spreads and fees, as anyone can see publicly recorded transactions, but they can face issues such as slow transactions, high gas fees, low liquidity, etc. 

Enter MEXs, the aggregators of aggregators

Meta exchanges, or MEXs, are the aggregators of aggregators in the crypto space. They combine the benefits of CEX and DEX aggregators, pulling liquidity and price data from centralized exchanges like Binance and Coinbase and decentralized exchanges like Uniswap, SushiSwap, and Curve. MEXs scan an exponential number of CEXs and DEXs simultaneously. An aggregator like SwissBorg’s MEX is maximally effective in comparing slippage, fees, and order book depth to find the most efficient route for a trade. Some aggregators even split large trades across multiple platforms to optimize the price when the market is volatile.

SwissBorg is a leading European platform for investing and earning crypto. Its advanced, intuitive MEX connects to CEXs and DEXs to find the deepest liquidity and enables seamless cross-chain and multi-chain swaps. SwissBorg has integrated Hyperliquid, a leading DEX, into its MEX, with which users can instantly convert the $HYPE token and other Hyperliquid-native assets to over 16 fiat currencies, including EUR, GBP, and CHF, and vice versa. They can exchange assets across chains with full route optimization. The integration enables access to competitive prices and deep liquidity through direct routing to Hyperliquid’s native order books, setting a standard for intuitive, on-chain trading.

SwissBorg is also the first EU-regulated platform offering direct fiat-to-$HYPE swaps. The MEX aggregates liquidity from Avalanche, Solana, and Berachain, leveraging data from 13 DEXs and 5 CEXs in total.      

MEXs enable automatic order routing

DEX aggregators have strong and weak points. Some are best for specific trading pairs, others for large trades, and still others for small trades. MEXs route trades to the most suitable exchange for the type of trade in question. Some of these aggregators deploy an automatic order routing system that monitors all the trading venues to which it is connected, where the asset the user wants to trade is available. The system scans all the venues for the best order opposite the buy or sell order.

They use a combination of liquidity sources for the best results 

MEXs can improve price execution by routing and splitting trades to several liquidity sources, building upon DEX aggregators’ functionality, and comparing routes to find the best option. Unlike DEX aggregators, MEXs don’t split trades across several routes; they just choose the best one.

Intent-based MEXs enhance liquidity by delegating execution to “solvers,” third parties that match trades peer-to-peer and include private inventory to provide additional liquidity. This improves DeFi trading efficiency and helps avoid protocol fees.

Some MEXs are more efficient for certain trade sizes, showing a similarity only in stablecoin trading. Still, statistics show that their trading efficiency is superior to ordinary DEX aggregators. According to a statistical analysis comparing performance, the p-value is 0, which indicates strong statistical significance.

They update quotes in real time to reduce price slippage

With transactions on a blockchain like Solana taking mere seconds to complete, a meta aggregator updates quotes in real time to give traders access to the most accurate prices. This is done to offset slippage, the discrepancy between the anticipated trade price and the actual price at which the app executes the trade.

Slippage occurs when the market is volatile, or liquidity is low. Rapid price changes make executing trades at the desired price difficult. Prices can fluctuate in fractions of a second during market rallies or due to major news events or regulatory announcements.

The order books have less depth when the market is thin (fewer participants). Large orders can move prices more, exacerbating slippage. Market orders are more prone to slippage because they execute instantly at the current price, especially in dynamic markets. Limit orders help avoid slippage by specifying the price at which they will be executed. Beyond market and limit orders, MEXs feature programmatic orders, which execute when conditions such as how much time has passed, wallet balances, etc., are met.

Exotic trading pairs are more susceptible to slippage than popular pairs because their trading volumes are lower. Slippage is a bigger problem in blockchain transactions because crypto markets are more volatile and less liquid than traditional financial markets. 

Some MEXs offer MEV protection

Maximal extractable value, or MEV, is a hidden tax on all Ethereum transaction types. Opportunistic users leverage bots to manipulate DeFi trades, operations like buying or selling an NFT, or crypto loans to liquidity pools, leading to failed transactions, unfavorable prices, or missed opportunities. MEXs with built-in MEV protection keep bots from seeing your trades.

SwissBorg is helping put Europe on the crypto map as the Old World lags behind Asia, North America, and South America in crypto adoption, and its MEX is changing the game with smarter swaps, deeper liquidity, and global access.  

Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.