The last price is the price of a recent trade, not a guarantee that your full order can execute there. Large orders depend on order-book depth or pool liquidity.
Slippage is the difference between the expected and average executed price. It grows with low liquidity, high volatility and order size relative to available depth.
On decentralized exchanges, pool mechanics and slippage tolerance also matter. A tolerance that is too high increases poor-execution risk, while one that is too low can cause a transaction to fail.
Before a large transaction, evaluate volume, market depth, liquidity distribution and the final amount after all fees.
Content is for informational purposes only and is not investment advice.
← Learn