Decentralized exchange (DEX) aggregator ParaSwap has announced its rebranding to Velora, along with the introduction of a new intent-based trading feature.
In a recent statement, Velora unveiled its Delta v.2.5 upgrade, which is said to enhance flexibility and speed in trading execution on the DEX platform.
Recent data indicates that ParaSwap has maintained 18,000 monthly active users in the past month, with a total of 4.3 million interactions with smart contracts over the past year. The platform originally launched its intent-based trading feature in the summer of 2024, aiming to reduce the adverse effects of maximum extractable value (MEV) bots.
The process involves three steps for order submission. Initially, the order is preprocessed to establish the expected trade price. Next, it enters an auction to identify the most efficient execution strategy based on liquidity and timing considerations. Finally, the chosen agent carries out the trade while accounting for user intent, allegedly minimizing the risks of MEV exploitation.
A crypto MEV bot is an automated tool designed to capitalize on profitable scenarios in the ordering of blockchain transactions, employing strategies like front-running and arbitrage to gain extra value. The project’s founder, Mounir Benchemled, noted previously that:
“The presence of MEV affects not just individual transactions but the broader fairness, accessibility, and decentralization of the DeFi sector, making it a crucial issue that requires urgent attention.”
### Velora’s Implementation of Intent-Based Trading
Velora’s approach to intent-based trading allows for greater customization, granting users “full control over their execution preferences” and enabling advanced features like limit orders. This overcomes the limitations of single-block execution while providing enhanced flexibility. The new aggregator is also geared toward facilitating seamless cross-chain trading and boosting performance.
Sergej Kunz, Co-Founder of the DEX aggregator 1inch, expressed that “end users shouldn’t have to grapple with the intricacies” of decentralized finance. He emphasized that an intent-based system simplifies this complexity:
“An intent-based system is structured to transfer the risks and complexities away from users and into the hands of professionals who focus on executing sophisticated DeFi strategies. A genuine intent-based DEX should offer MEV protection at the protocol level while delegating execution challenges to professional trading bots.”