Skip to main content

🚇 Best Rate Tunnel (BRT)

The Best Rate Tunnel (BRT) is the core routing algorithm behind UtopiaSwap. It's responsible for determining the most cost-effective, optimized path for every token swap by aggregating liquidity from multiple on-chain sources.

BRT ensures that users always receive the best possible rate, even in volatile or low-liquidity environments, by scanning and evaluating multiple DEXs in real-time.


🧠 What is BRT?

BRT is a real-time, chain-specific routing engine that:

  • Queries multiple decentralized exchanges (DEXs) simultaneously
  • Considers slippage, fees, gas costs, and route depth
  • Selects the optimal path (single hop or multi-hop)
  • Executes via UtopiaSwap’s modular smart contracts

It acts as a dynamic liquidity router rather than relying on a single protocol.


🔍 How It Works

  1. User selects tokens + chain
  2. BRT identifies possible liquidity sources:
    • Uniswap
    • Balancer
    • SushiSwap
    • PancakeSwap
    • Others (based on chain)
  3. Simulates potential swap routes:
    • Direct swap (Token A → Token B)
    • Multi-hop swap (A → WETH → B)
    • Split routes (if enabled in future versions)
  4. Calculates effective return:
    • Adjusts for slippage, liquidity depth, gas cost
  5. Selects best route and sends instruction to smart contract layer
  6. Executes transaction, and user receives tokens directly

⚙️ Components of BRT

ComponentDescription
Route SimulatorSimulates all viable swap paths in real time
Slippage OptimizerCalculates expected return after slippage and liquidity impact
Gas EstimatorCompares gas costs across routing options to avoid expensive paths
Protocol Adapter LayerAllows BRT to interact with external DEX contracts uniformly
Result ScorerScores each path based on net output, reliability, and execution success

📊 Example

Imagine a user wants to swap USDC → ETH on Polygon:

  • BRT detects 3 options:
    • Uniswap: 0.087 ETH
    • Balancer: 0.086 ETH
    • SushiSwap (via WETH): 0.088 ETH (but high gas)
  • After accounting for gas and slippage, BRT selects Uniswap for optimal execution.

🔒 Why It Matters

  • User-first routing: Always maximizes value returned to the user
  • Cross-chain capable: BRT logic runs per-chain but shares architecture
  • Extensible: New protocols or chains can be added without rewriting routing logic

🛣 Future Upgrades

  • Multi-DEX split routes: Combine multiple sources for better rates
  • Cross-chain aggregation: Bridge-aware routing in future versions
  • Private order flow / MEV resistance: Enhance protection against front-running

The Best Rate Tunnel is what makes UtopiaSwap not just another DEX aggregator — but a smart, adaptive liquidity layer across chains.