Multi‑Maker Routing
Optimal Liquidity Aggregation Framework
Multi-maker routing represents a sophisticated approach to trade execution that enables single swap intents to utilize multiple liquidity sources simultaneously, optimizing pricing and reducing slippage through intelligent order distribution and coordination.
This approach transforms the traditional single-source execution model into a comprehensive optimization problem that considers multiple competing objectives: total execution cost, slippage minimization, execution speed, and liquidity source reliability.
Advanced Routing Algorithm Implementation
Multi-Objective Optimization Process:
1. Order Book Aggregation → Merge CPMM/CLMM curves into unified depth-by-price mapping
2. Greedy Price Optimization → Select most cost-effective liquidity tranches within slippage constraints
3. PSBT Partitioning → Allocate distinct input/output sets per contributing maker
4. Signature Coordination → Collect partial signatures from each participating liquidity source
5. Atomic Settlement → Execute complete trade or revert all componentsRouting Benefits and Performance
Execution Quality Improvements:
Enhanced Liquidity Depth: Combined capacity from multiple independent sources providing superior fill rates
Improved Pricing: Optimal slice selection across sources minimizing total slippage and execution costs
Increased Resilience: Continued operation despite individual maker unavailability or temporary liquidity constraints
Reduced Market Impact: Distribution of large trades across multiple sources reducing individual source price impact
Practical Routing Example
Trade Scenario: 5 BTC → RUNES conversion with multi-maker optimization
Maker A
120
2 BTC
40%
Lowest cost tier
Maker B
121
1.5 BTC
30%
Secondary pricing tier
Maker C
122
1.5 BTC
30%
Completion tier
Execution Results: Effective average price of 120.9 RUNES/BTC versus 122 RUNES/BTC from single highest-cost source, demonstrating quantifiable execution improvement through routing optimization.
Risk Management and Safeguards
Comprehensive Protection Mechanisms:
Slippage Envelope Enforcement: PSBT invalidation if combined execution rate exceeds user-specified tolerance levels
Timeout Management: Systematic removal of non-responsive makers with automatic route recalculation
Fee Optimization Analysis: Cost-benefit evaluation for additional input inclusion versus execution improvement
Execution Monitoring: Real-time tracking of individual maker performance and reliability metrics
Operational Reliability:
Failover Protocols: Automatic route adjustment when primary sources become unavailable
Quality Scoring: Historical performance tracking influencing future routing decisions
Latency Optimization: Preference for consistently responsive liquidity sources
Capacity Management: Dynamic adjustment based on available liquidity depth and source capacity
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