How to Trade on Aerodrome Slipstream: A Beginner’s Guide

Introduction

Aerodrome Slipstream is a decentralized exchange (DEX) built on the Base network, focused on concentrated liquidity pools and efficient swap execution. Slipstream pools allow liquidity providers (LPs) to allocate liquidity within custom price ranges, which reduces capital waste and slippage for traders. The platform also uses a governance token, veAERO, to allow users to vote on rewards and gauge incentives. :contentReference[oaicite:0]{index=0} In this guide, you’ll learn how to use spot swaps / liquidity provision, the state of perps (if available), and the current status of lending units. We’ll also cover fees, rewards, and safety tips.

1. Spot Swaps & Concentrated Liquidity Pools

This is the core way to trade / provide liquidity on Slipstream. Here’s how it works:

1. Connect a compatible wallet to Aerodrome Slipstream (e.g. a Base‑compatible wallet). Make sure you have some Base network gas token to pay transaction fees.
2. Choose a trading pair, e.g. WETH/USDC or another token pair supported on Slipstream. Note that volume is high on popular pairs—higher liquidity means less slippage. :contentReference[oaicite:1]{index=1}
3. Review price, confirm amount, set slippage tolerance. Swaps on concentrated liquidity pools are more efficient within the active price range. Outside of that range, price impact may increase. :contentReference[oaicite:2]{index=2}
4. Execute the swap. The transaction gets routed through the Slipstream pool; fees are applied (usually low, thanks to Base's efficiency). Part of the fees goes to LPs, and part may be directed by gauge voting via veAERO. :contentReference[oaicite:3]{index=3}

If you want to provide liquidity instead of just trading, select a Slipstream pool, deposit both tokens within your chosen price range, receive the LP position (often represented as an NFT or position token). You’ll earn trading fees + emissions (rewards). :contentReference[oaicite:4]{index=4}

2. Perpetuals / Derivatives (Perps) – Status

As of now, there is **no well‑documented perps or derivatives module** built directly into Aerodrome Slipstream. The platform focuses on concentrated liquidity and spot swaps plus governance & rewards mechanisms. If you encounter offers claiming perps trading on Aerodrome, verify via official sources. It appears most rewards, features, and high APRs are from LP incentive programs, not derivative leverage trading. :contentReference[oaicite:5]{index=5}

3. Lending / Borrowing / Lending Unit – What’s Available

Regarding lending on Aerodrome: there is some community discussion about lending AERO (or other tokens) and borrowing against them, but **no strong official source confirms a fully active, audited lending / borrowing module** as of this writing. :contentReference[oaicite:6]{index=6} If lending becomes available, typical steps would involve supplying tokens, determining collateralization ratios, and borrowing. But right now, your safest assumptions should be that lending features are limited or experimental.

4. Fees, Rewards & Governance

A few special features that make Aerodrome Slipstream attractive to traders and LPs:

• veAERO & Gauge Voting: Lock AERO tokens to get veAERO. This gives voting power to direct emissions and reward incentives to certain pools. Rewards can include swap fee distributions and bribes. :contentReference[oaicite:7]{index=7}
• Fee Distribution: Slipstream pools capture a very large volume on Base—reports say up to 90% of concentrated liquidity volume on Base is through these pools. 100% of swap fees in some cases are distributed to veAERO voters. :contentReference[oaicite:8]{index=8}
• High APRs for LPs: Some Slipstream LP reward programs offer very high returns, especially for less popular token pairs with incentives. But high APR often comes with higher risk. :contentReference[oaicite:9]{index=9}
• Low Slippage & Capital Efficiency: Because liquidity is concentrated where traders are active, slippage is lower compared to uniform AMMs. You pay less in price impact. :contentReference[oaicite:10]{index=10}

Frequently Asked Questions (FAQs)