How DCA Works?
How DCA Works?
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Calculate Dollar Cost Averaging (DCA) for your favorite cryptocurrencies with our easy-to-use DCA1000x Tool. Reduce risk, average out costs, and invest consistently.
Calculate Dollar Cost Averaging (DCA) for your favorite cryptocurrencies with our easy-to-use DCA1000x Tool. Reduce risk, average out costs, and invest consistently.
DCA Creation
DCA Creation
When you set up a DCA order, your tokens are moved from your wallet to an associated token account owned by DCA1000x. For instance, if you decide to use $USDC for DCA into $ETH, the entire specified $USDC amount is deposited into your DCA vault.
When you set up a DCA order, your tokens are moved from your wallet to an associated token account owned by DCA1000x. For instance, if you decide to use $USDC for DCA into $ETH, the entire specified $USDC amount is deposited into your DCA vault.
The initial order occurs immediately after your DCA position is created, and subsequent orders happen regularly based on your chosen time interval. For example, if you allocate 10,000 $USDC to DCA into $ETH daily over 10 days, the first order of 1,000 $USDC -> $ETH executes right after successful DCA creation.
There will be 9 more orders of 1,000 $USDC -> $ETH executed daily.
The initial order occurs immediately after your DCA position is created, and subsequent orders happen regularly based on your chosen time interval. For example, if you allocate 10,000 $USDC to DCA into $ETH daily over 10 days, the first order of 1,000 $USDC -> $ETH executes right after successful DCA creation.
There will be 9 more orders of 1,000 $USDC -> $ETH executed daily.
DCA Orders
DCA Orders
When setting up a DCA order or account, it is divided into multiple smaller orders. The number of orders depends on the options or iterations you select.
When setting up a DCA order or account, it is divided into multiple smaller orders. The number of orders depends on the options or iterations you select.
For instance, if you decide to dollar-cost average (DCA) into ETH using $9,000 USDC over 3 days, your DCA order/account will consist of a total of 3 trades or transactions, each involving $3,000 USDC
For instance, if you decide to dollar-cost average (DCA) into ETH using $9,000 USDC over 3 days, your DCA order/account will consist of a total of 3 trades or transactions, each involving $3,000 USDC
DCA Order Example
DCA Order Example
If you decide to dollar-cost average (DCA) into ETH with $9,000 USDC over 3 days, the following transactions will occur:
If you decide to dollar-cost average (DCA) into ETH with $9,000 USDC over 3 days, the following transactions will occur:
First Transaction:
First Transaction:
Immediately after confirming the DCA order, $3,000 USDC will be swapped for ETH. If the price of ETH is $3,500 USDC/ETH, you will receive 0.857 ETH.
Immediately after confirming the DCA order, $3,000 USDC will be swapped for ETH. If the price of ETH is $3,500 USDC/ETH, you will receive 0.857 ETH.
Second Transaction:
Second Transaction:
Approximately 24 hours after the initial transaction, the next $3,000 USDC will be swapped for ETH. If the price of ETH is $2,000 USDC/ETH, you will receive 1.5 ETH.
Approximately 24 hours after the initial transaction, the next $3,000 USDC will be swapped for ETH. If the price of ETH is $2,000 USDC/ETH, you will receive 1.5 ETH.
Third Transaction (Last):
Third Transaction (Last):
Approximately 24 hours after the second order, the remaining $3,000 USDC will be swapped for ETH. If the price of ETH is $1,000 USDC/ETH, you will receive 3 ETH.
Approximately 24 hours after the second order, the remaining $3,000 USDC will be swapped for ETH. If the price of ETH is $1,000 USDC/ETH, you will receive 3 ETH.
The amount of ETH you receive depends on the price at the time each transaction executes.
The amount of ETH you receive depends on the price at the time each transaction executes.
Platform Fees
Platform Fees
DCA1000x charges a platform fee of 0.25% for transactions on Base and 1% on Cronos.
DCA1000x charges a platform fee of 0.25% for transactions on Base and 1% on Cronos.
This fee is deducted at the time of order execution. Using the previous example (For Base):
This fee is deducted at the time of order execution. Using the previous example (For Base):
For the first order, instead of receiving 0.857 ETH, the user will receive 0.8548575 ETH (99.75% of 0.857).
For the first order, instead of receiving 0.857 ETH, the user will receive 0.8548575 ETH (99.75% of 0.857).
For the second order, the user will receive 1.49625 ETH (99.75% of 1.5).
For the second order, the user will receive 1.49625 ETH (99.75% of 1.5).
Utilization of Platform Fees
Utilization of Platform Fees
DCA1000x users are charged a 0.25% - 1% fee, depending on the coin network.
DCA1000x users are charged a 0.25% - 1% fee, depending on the coin network.
This fee is divided between the DCA1000x, Operating Expenses, Marketing Campaigns, Partners of DCA1000x and the stakers of the an upcoming DCA1000x reward token (To be announced). DCA1000x will provide more information on this once we have confirmed our upcoming partnerships.
This fee is divided between the DCA1000x, Operating Expenses, Marketing Campaigns, Partners of DCA1000x and the stakers of the an upcoming DCA1000x reward token (To be announced). DCA1000x will provide more information on this once we have confirmed our upcoming partnerships.
DCA1000x tokens serve as rewards for our users. These tokens allow you to earn fees from various markets in real time. When you stake our tokens, you receive a share of the platform fees. Additionally, staking contributes to the emission of more tokens within that market. Currently, our token is not tradable.
DCA1000x tokens serve as rewards for our users. These tokens allow you to earn fees from various markets in real time. When you stake our tokens, you receive a share of the platform fees. Additionally, staking contributes to the emission of more tokens within that market. Currently, our token is not tradable.
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Order Placements
Order Placements
Orders are not executed precisely when they are due. Instead, there is a variability of +2 to 30 seconds, introducing uncertainty and exposure risk for potential exploiters. This variability eliminates any risk-free return, making front-running a highly precarious endeavor.
Orders are not executed precisely when they are due. Instead, there is a variability of +2 to 30 seconds, introducing uncertainty and exposure risk for potential exploiters. This variability eliminates any risk-free return, making front-running a highly precarious endeavor.
Before a transaction is sent to a node, prices are verified, and an estimated out-token (desired token) amount is pre-calculated. These parameters, along with slippage settings, are included in the transaction. If the out-token amount falls below the expected minimum, the transaction fails.
Before a transaction is sent to a node, prices are verified, and an estimated out-token (desired token) amount is pre-calculated. These parameters, along with slippage settings, are included in the transaction. If the out-token amount falls below the expected minimum, the transaction fails.
While this approach doesn’t completely prevent MEV (Miner Extractable Value) front-running, it does ensure that users receive a minimum out-token amount. Transactions can be reverted if an inadequate out-token amount is received. This safeguard prevents prices from slipping to levels where front-running bots could profit significantly.
While this approach doesn’t completely prevent MEV (Miner Extractable Value) front-running, it does ensure that users receive a minimum out-token amount. Transactions can be reverted if an inadequate out-token amount is received. This safeguard prevents prices from slipping to levels where front-running bots could profit significantly.
The inherent nature of dollar-cost averaging (DCA) involves splitting an order into multiple smaller orders over time, which naturally reduces the price impact from front-running activities
The inherent nature of dollar-cost averaging (DCA) involves splitting an order into multiple smaller orders over time, which naturally reduces the price impact from front-running activities
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