# Declare Minitswap parameters

**URL:** https://forum.initia.xyz/t/declare-minitswap-parameters/53
**Category:** Minitswap
**Created:** [April 24, 2025, 7:06am UTC](https://forum.initia.xyz/t/declare-minitswap-parameters/53 "2025-04-24T07:06:26Z")
**Posts on this page:** 1
**Page:** 1

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### Author: ![joelim](https://yyz1.discourse-cdn.com/flex033/user_avatar/forum.initia.xyz/joelim/32/7_2.png) [@joelim](https://forum.initia.xyz/u/joelim)
#### Post date: [April 24, 2025, 7:06am UTC](https://forum.initia.xyz/t/declare-minitswap-parameters/53/1 "2025-04-24T07:06:26Z")

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## 1. Background

This proposal aims to declare key operational parameters for **Minitswap** , a swapping mechanism designed to enable safe, efficient, and near-instant transfers of OP-bridged assets between the Initia Layer 1 and its rollups. Minitswap addresses the inherent delays of traditional optimistic bridges, which typically require a 7-day challenge period for finality during asset withdrawals. By leveraging a virtual liquidity pool, Minitswap allows users to swap bridged assets with low slippage and minimal latency while preserving security and minimizing systemic arbitrage risks.

## 2. Parameter Changes

| Parameter | Value | Description |
| --- | --- | --- |
| max\_change\_rate | 0.1 | Maximum change rate of virtual pool’s size. |
| stableswap\_ann | 20000 | Amplification factor used in Minitswap to flatten the bonding curve and reduce slippage. Calculated as A_n^n_100 where n is the number of tokens (typically 2). |
| stableswap\_swap\_fee\_rate | 0.03% | Stableswap fee rate |
| swap\_fee\_rate | 0.03% | Swap fee rate for the virtual pool’s swap. |
| arb\_fee\_rate | 5% | Fee rate to charge arbitrage swaps. (If return amount \> offer amount, arbitrage fee amount = return\_amount - offer\_amount) \* arb\_fee\_rate) |
| trigger\_fee | 500000 | Fee provided to the user who finalizes the in-house arbitrage transaction. |
| min\_arb\_profit | 10000000 | Minimum profit amount for the peg keeper to start the in-house arbitrage process. |
| ibc\_timeout | 600s | IBC timeout used by the peg keeper when starting the in-house arbitrage. |
| max\_arb\_batch | 10 | The maximum number of in-house arbitrage processes that can exist simultaneously per virtual pool. |
| min\_arb\_interval | 86400s | The minimum interval between in-house arbitrage processes for each virtual pool. |
| unbond\_period | 7 days | The duration of time applied to withdrawing liquidity from the Minitswap pool. |

## 3. Rationale

- Minitswap is essential to the Initia user experience, enabling fast and secure asset transfers across layers while avoiding the delays of optimistic bridge withdrawals.