Try Quests to earn cryptoTerraswap vs Native Swap
Terra currently has 2 types of swaps, namely the native swap (market) or through Terraswap, a dApp developed by DELIGHT LABS. In this dashboard, we are going to compare both the swaps by volume and see if there are any differences.
The graph below shows the number of transactions going through native swap and terraswap. Since Native Swap addresses usually deal in high value transactions, given that Native Swap users have a much higher balance, it makes sense that the average number of transactions going through Native Swap is less than those going through Terraswap, as each transaction's swap fee and transaction fee will be high.
The graph below shows that Native Swap users are "richer" than Terraswap users. Upon inspection, Terraswap's spread is much higher than Native Swap's spread, such that when dealing high value transactions, Native Swap may have a better price.
Terraswap's dominance may be caused by lower slippage and better pricing when compared to Native Swap, as well as having more trading pairs. Terraswap's popularity might also be a deciding factor in its market dominance since Terraswap is the go-to swap for token trading on the Terra ecosystem since Native Swap only allows swaps of native coins, such as Luna and other stablecoins.
The graphs below show the total volumes for Native Swap and Terraswap respectively. By comparng the graphs, we can see that Terraswap dominates the market most of the time. The only period where Native Swap is preferred over Terraswap is from February 2021 to April 2021.
Only the transactions that interacts with native swap / terraswap are included in the calculation of the average number of transactions of the addresses.
Only the latest balances for the addresses are used in this dashboard.
All volumes are in USD so that it is easier to compare the volumes between different pairs.
Although Terraswap is dominating the market by volume, it is found out that addresses with higher account balances tend to prefer Native Swap. This may be caused by the fact that the prices offered by Native Swap are better when dealing with high value transactions and that the prices offered by Terraswap are better when dealing with low value transactions. Since high value transactions are seldom executed, as seen through the low average number of transactions in Native Swap, Native Swap volume is naturally less than the volume going through Terraswap. Another fact is that Terraswap has a lot more pairs than Native Swap, which makes it the go-to swap for trading tokens on the Terra ecosystem, which helps to boost its volume.
Only the top 5 swap pairs for both Terraswap and Native Swap where the tx_status is 'SUCCEEDED' are included in the calculations.