Why FREET Buy and Sell Prices Can Differ Significantly

Why FREET Buy and Sell Prices Can Differ Significantly

In the front-end UI, swapping FREET appears simple. However, buy and sell prices can differ due to the different swap flows on the Sidra DEX.

Buy FREET (SDA → FREET)

1. SDA from the wallet is sent to the router.
2. The router converts SDA into WSDA.

3. WSDA is sent to the FREET/WSDA pool, and then FREET is sent to the user’s wallet.

4. This flow is short, so the buy price is close to the pool value (~10 SDA per FREET).

Sell FREET (FREET → SDA)

1. FREET from the wallet is swapped for GLNs in the FREET/GLNs pool.
2. GLNs are sent to the router as a temporary transit.
3. GLNs are swapped in the GLNs/WSDA pool → producing WSDA.
4. WSDA is held in the router before being burned.

5. Final step: WSDA is burned and converted into SDA, which is sent to the user’s wallet.

6. This flow is long and passes through multiple pools, so the sell price can be much lower (~2.9 SDA per FREET).

Reason:

• Sidra DEX is designed so that pools are interconnected via the router, so swaps are not always direct.
• The long flow causes high slippage when selling FREET, resulting in a lower sell price compared to the buy price.