Welcome to the Home of Liquidity! Find answers to some of the most commonly asked questions from our community.
1. Why and how is Pact different to other protocols?
Users have fewer transaction costs, and a faster path to market. By design, Pact is the only AMM currently offering liquidity providers back 100% of liquidity pool fees they accumulate.
Pact aims to be the premier AMM (Automatic Market Maker) on Algorand, focusing on cheap and fast transactions, that have instant finality, are secure and eco-friendly.
2. What tokens is Pact compatible with?
Algorand Standard Assets (ASAs).
The native Algo token. Note that at this time, the 'wrapping' of assets is possible via other providers like Algomint - goBTC and goETH are great examples of wrapped assets which can be swapped and pooled in their ASA format.
3. Are there any fees involved?
All of Pact’s trading fees go to liquidity providers. Trading fees are 0.01%, 0.05%, 0.3% or 1% of the value traded. In addition to this, all transactions require a small amount of Algo to power their processing on the blockchain.
4. Can tokens be wrapped on Pact?
Not at this stage.
5. Has Pact been audited or tested? Why is auditing important?
Pact smart-contracts have received audit certification with Runtime Verification, who are one of the leading auditors in the business (also having been engaged by the Algorand Foundation themselves).
Everything is done to ensure security and while audits are never infallible, this process gives more reassurance that our code is reliable, high-quality, and not malicious.
6. How has Pact been built on the backend?
Pact was built from scratch, using a constant product (x*y = k) automated market maker (AMM) architecture, strongly inspired by the Uniswap V2 model.
7. Why did my transaction fail? And what can I do when this happens?
There could be a number of reasons. Rectifying failed transactions relies upon re-submitting, exclusively. There is no ‘amending’ on blockchains. If something fails, the action must be re-tried.
8. What tokens are listed on Pact?
Anyone can create any pool made up of any token pairing. There is a visual indicator on all screens to show whether an asset has been verified or not. Pact has no influence over token listings.
9. How does an asset become classified as "verified"?