Intent-Based Trading
A trading model where a user expresses a desired outcome, such as a specific swap result, and lets competing third parties figure out and execute the best way to achieve it.
Intent-based trading shifts the trading interaction from specifying an exact transaction (such as "swap through this specific pool using this specific route") to simply expressing a desired outcome (such as "I want at least X of token B for Y of token A"), leaving the question of how to best achieve that outcome to specialized third parties competing to fulfill it. The user signs an intent rather than a fully specified transaction, and that intent is only executed once a suitable fulfillment is found.
This model is closely related to a Request for Quote (see Kaavon's "Request for Quote (RFQ)" glossary definition) but is broader, since an intent can potentially be filled through any combination of on-chain routes, private liquidity, or cross-chain paths that a solver (see Kaavon's "Solver (Intents)" glossary definition) determines achieves the best outcome, rather than simply soliciting quotes from a fixed set of market makers for one specific trade. Proponents argue intent-based trading can produce better execution and abstract away complexity like gas management and cross-chain routing from the end user, while critics note it introduces new trust and competition dynamics around whichever solvers end up fulfilling user intents.
Examples
- A user submitting a trading intent specifies only their desired minimum outcome, leaving competing solvers to determine and execute whatever route achieves that outcome most efficiently.
- Intent-based trading can abstract away cross-chain complexity entirely from the user's perspective, letting a solver handle bridging and routing behind the scenes to fulfill the stated intent.