Comparing Auction Methods in DeFi: Dutch Auctions vs Batch Auctions
Comparing Auction Methods in DeFi: Dutch Auctions vs Batch Auctions
🔑 Auction Showdown: Dutch vs Batch
The article examines the shortcomings of automated market makers (AMMs) in decentralized finance (DeFi), such as exposure to miner extractable value (MEV) attacks. It then discusses the benefits of auction mechanisms like Dutch auctions and batch auctions as alternatives to AMMs. Dutch auctions offer solver competition, MEV protection, but are centralized. Batch auctions group multiple orders, enable cross-asset swaps, and incentivize better execution while retaining MEV protection. The article highlights CoW Swap as a major implementation of batch auctions, detailing its approach of collecting order intents, conducting auctions for solvers, and executing winning orders on-chain. It suggests batch auctions aligning with Ethereum's block auction mechanism make them well-suited for DeFi trading.
🐄 Cross-Chain Swaps
**CoW Swap launches cross-chain trading** that eliminates traditional bridge complexity. Key features: - **Best-route pricing** across multiple chains - **Gasless trading** - no need for native tokens - **Surplus returns** to traders - **MEV protection** built-in The platform now supports trading across Ethereum, Gnosis, BNB, Lens, Avalanche, Polygon, Arbitrum, and Base chains without requiring separate bridging steps. Traders can swap tokens directly between chains while maintaining the same protections and competitive pricing that CoW Swap offers on single chains. [Learn more about cross-chain swaps](https://cow.fi/learn/cow-dao-unveils-seamless-cross-chain-swaps)
🔓 Partial Approvals Live
**CoW Swap launches partial approvals for market orders** Users can now approve only the exact amount needed for swaps and permits, eliminating the need for maximum approvals unless preferred. - **Enhanced control**: Approve specific amounts rather than unlimited access - **Same user experience**: Maintains smooth trading interface - **User-requested feature**: Built based on community feedback The update provides traders with more granular control over token approvals while preserving CoW Swap's streamlined interface. [Try partial approvals now](http://swap.cow.fi)
🐄 COW Holders Vote
**CIP-74 is now live** and requires $COW holder votes to pass. The proposal updates **solver rewards** to maintain: - Strong competition among solvers - Fair reward distribution - Long-term sustainability **Vote now** on [Snapshot](https://snapshot.org/#/s:cow.eth/proposal/0x0c70c8cd92accee872b52614b4fa10e3e3214f45c5b6857f7e88e910607a3c1d) Your participation helps shape CoW Protocol's future reward structure.
Study Shows CoW Swap Leads Intent-Based DEXes in Decentralization and Volume
A comprehensive 6-month trading analysis reveals CoW Swap's dominance among solver-based DEXes: - **Higher Trading Volume**: ~$200M daily vs $60M (1inch Fusion) and $30M (UniswapX) - **More Decentralized**: Top solver only controls 25% market share, with next five at ~10% each - **Better for Large Trades**: Shows best execution improvement for trades over 100 ETH The study compared CoW Swap, 1inch Fusion, and UniswapX, finding solver-based DEXes generally outperform traditional alternatives through optimized routing and off-chain liquidity access. Try CoW Swap: [swap.cow.fi](https://swap.cow.fi/#/1/swap/WETH/0xA0b86991c6218b36c1d19D4a2e9Eb0cE3606eB48)
CoW DAO at DevCon Bangkok: Schedule of Events
CoW DAO announces their presence at DevCon Bangkok with a packed schedule: - Tuesday: @Silver_Queen presents on user interaction in web3 - Wednesday: Booth presence at ArbiVerse (Arbitrum event) with swag giveaways - Thursday: @AnnaMSGeorge discusses CoW AMM's batch mechanism - Friday: Two key talks: * @AndreaCanidio on trade intents and fair mechanism design * @fleupold_ explores PBS in Ethereum **Special Event**: CoW DAO hackathon offering $10,000 in prizes at ETHGlobal Visit the CoW DAO booth to connect with the team and collect exclusive swag!