> For the complete documentation index, see [llms.txt](https://wowmax.gitbook.io/product-docs/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://wowmax.gitbook.io/product-docs/dex-aggregator/dex-aggregation-algorithm.md).

# DEX aggregation algorithm

WOWMAX is a platform that combines two powerful techniques - DEX aggregation and on-chain arbitrage - to optimize cryptocurrency trades. DEX aggregation means that WOWMAX breaks down a large trade into smaller parts and exchanges them on multiple decentralized exchanges simultaneously to minimize the overall negative price impact, or slippage.

WOWMAX built-in arbitrage: when a user swaps 2 tokens, WOWMAX arbitrages *all other tokens* and returns 100% profit to the user.

<figure><img src="/files/ZLKv2iEhGk0PksU0vQ29" alt=""><figcaption></figcaption></figure>

In addition to aggregation WOWMAX algorithm extracts arbitrage profits from trading other tokens between pools with stablecoins and native chain tokens, further maximizing the final outcome for the trader.&#x20;

## WOWMAX's Arbitrage Algorithm

1\)     WOWMAX scans all available DEXes to identify mispriced tokens—instances where the price of a token differs across platforms due to market inefficiencies.

2\)     WOWMAX then executes arbitrage trades, buying the undervalued token on one DEX and selling it at a higher price on another.

3\)     The profits generated from these arbitrage opportunities are returned entirely to the trader, effectively enhancing the overall outcome of the trade.

*More complex routing due to built-in arbitrage algorithm results in better rates.*

<figure><img src="/files/0TJ3i8HlcFbkI5RAHVbw" alt=""><figcaption></figcaption></figure>