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Coffer Coffer @coffer_so · 307 subscribers
Post #26 38
Slippage is the difference between the expected and actual swap price

Low liquidity → high slippage
High liquidity → low slippage

Cubee solves this with leverage (via virtual balance) – Liquidity works as if it were larger than it actually is

Example:

Without leverage:
Real balance: 10 SOL
Virtual balance: 10 SOL
If your swap volume is 5 SOL → the price moves significantly

With 10x leverage:
Real balance: 10 SOL
Virtual balance: 100 SOL
Same 5 SOL volume → the price moves less

Important: if the real balance is depleted, the pool simply stops executing swaps for that token

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