FAQ & Troubleshooting

Frequently asked questions about Bolt Liquidity.

DeFi Questions

How does Bolt Liquidity ensure I get the best price for my swaps?

Bolt aggregates oracle prices from the top DEXs and CEXs like Binance & Coinbase to ensure optimal asset pricing is sourced for swaps.

How does Bolt compare to other cross-chain liquidity solutions?

Unlike traditional bridges and aggregators, Bolt does not use standard AMMs for order execution. Instead, it utilizes on-demand order filling at the aggregated oracle price, ensuring users receive the exact price and token amount they expect—without unexpected slippage.

How does Bolt minimize impermanent loss for LPs?

Bolt employs dynamic liquidity routing and off-chain order settlement via single-sided pools, ensuring liquidity is used efficiently and only when needed to reduce price volatility exposure as well as the costly overhead of constant rebalancing. Unlike AMMs that force LPs to rebalance constantly, Bolt’s model eliminates rebalancing until a trade actually occurs.

What are the benefits of providing liquidity to Bolt?

By becoming an LP in Bolt, you can efficiently deploy capital across multiple ecosystems using single-sided pools, reducing the need for constant rebalancing while minimizing arbitrage risk. Bolt’s hybrid liquidity model ensures that your capital is utilized in the most efficient way, optimizing yields and enhancing overall capital efficiency.

How do Market Makers interact with Bolt?

Market Makers monitor Bolt Outposts for swap requests and provide liquidity by executing offsetting trades. They earn fees for each successful swap they facilitate, with fees automatically accruing in pool contracts.

What happens if there's insufficient liquidity for a trade?

Bolt's on-demand liquidity model means trades only execute when there's sufficient liquidity to complete them at the quoted price. If liquidity isn't available, the trade simply won't execute rather than settling at a worse price with high slippage.

Product Questions

What benefits does Bolt offer to my application’s users?

By integrating Bolt, users gain:

• Guaranteed competitive on-chain pricing with hyper-efficient aggregated liquidity.

• Access to a broader range of tokens across multiple chains.

• Instantaneous atomic execution through Bolt’s native outposts.

Do I need to modify my existing user interface or workflow?

No. Since Bolt integrates via API, there are no changes required to your UX or DevX. Your existing DeFi front-end can leverage Bolt’s liquidity solution as an alternative hyper-efficient pricing and liquidity source.

Is Bolt part of Archway?

No, Bolt is a standalone protocol that exists as outposts living on supported counterparty chains. Bolt is now live on Archway and will be rolling out support for further outposts soon.

Technical Questions

How secure is Bolt's protocol?

Bolt implements multiple security measures including tight expiration periods for price proofs, deviation limits that act as circuit breakers, and minimum value requirements for swaps. The protocol also leverages IBC for secure cross-chain communication and undergoes regular security audits.

What chains does Bolt currently support?

Bolt is currently live on Archway, with outposts being developed for other major chains. Our architecture is designed to be chain-agnostic, supporting deployment on any chain that meets our security and performance requirements.