What is slippage and how to adjust it?

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What is slippage?

Slippage happens when there isn't enough liquidity in the market to complete an order at the desired price. This can lead to the transaction being executed at a less favorable price than expected. In Web3, slippage can occur due to various factors. These include a lack of liquidity for a specific asset pair, high volatility in cryptocurrency prices, and impermanent loss experienced by liquidity providers in mechanisms like automated market makers (AMMs). Traders and liquidity providers in Web3 environments should be aware of slippage and take steps to minimize its impact.

How to adjust slippage in Phantom

  1. Open up the Phantom swapper tab by selecting the arrows at the bottom of the screen
  2. You can adjust the slippage In the top right of the swapper page

Choose a slippage between 0.1% and 30%.  Any adjustments to slippage tolerance will persist as the default for the your next swap so be sure to check before each swap!  Also we will warn you if slippage is set to over 5% so you don't accidentally overspend when swapping.

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