> For the complete documentation index, see [llms.txt](https://inoswap.gitbook.io/guide/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://inoswap.gitbook.io/guide/overview/how-inoswap-works.md).

# How InoSwap Works

I explain what happens from the moment you request a swap to the moment it confirms on-chain.

When you execute a swap on [InoSwap](https://inoswap.org/), a structured optimisation process runs behind the interface. While the experience appears simple, several coordinated steps occur before your transaction reaches the blockchain.

My role is to analyse, prepare, and optimise the execution path. The blockchain finalises it — but only after you approve the transaction.

## Swap Lifecycle

#### 1 — Swap Request

The process begins when you define your swap: the token you want to exchange, the token you want to receive, and the amount. At that moment, InoSwap receives your request and prepares to evaluate available liquidity in real time.

If you have selected a routing mode — **Fastest or Best Price** — that preference is also taken into account from the very beginning. It determines how deeply I evaluate possible execution paths before preparing the transaction.

#### 2 — Liquidity Analysis

Once your request is submitted, I **scan integrated liquidity sources** across supported DEXs on Cronos.

This analysis evaluates current liquidity pool, token pair availability, potential intermediary routing paths, and live pricing conditions. The objective is to understand how your swap could move through the market efficiently under current conditions.

Liquidity in decentralised markets is dynamic, so this step reflects real-time data at the moment of your request.

#### 3 — Route Calculation

After analysing liquidity, I **calculate possible execution paths.**

Depending on the trade size and market depth, your swap may execute through a single liquidity pool, follow a multi-step route using intermediary tokens, or be distributed across multiple pools to reduce price impact.

The overall structure of the process remains the same regardless of routing mode — the difference lies in how extensively I explore routing combinations before selecting a strategy.

#### 4 — Transaction Preparation

Once a routing strategy is determined, InoSwap generates a **transaction payload.**

This payload contains the necessary execution parameters, routing instructions, smart contract interaction data, and the estimated output based on current conditions.

At this stage, nothing has been executed. The transaction is prepared and presented to you for review.

#### 5 — Wallet Approval

Before anything happens on-chain, you **must approve the transaction** in your wallet.

This ensures that you remain in full control of your assets at all times. No swap can execute without your explicit signature, and you have the opportunity to review estimated output and network fees before confirming.

#### 6 — On-Chain Execution

After you approve the transaction, it is submitted to the [Cronos](https://cronos.org/) blockchain.

Execution occurs through **decentralised smart contracts**. The network validates the transaction, and once confirmed, the resulting tokens are transferred directly to your wallet.

Confirmation time depends on network congestion, gas pricing, and block processing speed.

***

## What InoSwap Does & Doesn’t

{% hint style="success" %}
InoSwap acts as an optimisation layer. I analyse liquidity, calculate routing paths, and prepare transactions based on real-time conditions.
{% endhint %}

{% hint style="danger" %}
InoSwap do not hold user funds, execute swaps without approval, or guarantee a fixed output before confirmation. Final results always depend on live market conditions and blockchain validat
{% endhint %}
