Credit accounts
Controlling slippage

Controlling slippage

When executing external calls to swap/deposit/withdraw assets, slippage must always be taken into consideration. An expected output amount reported by a DEX in a previous block may no longer be actual. Gearbox has a native slippage control system for multicalls, which is required for several reasons:

  1. External operations may consist of several steps (such as swapping the underlying to an asset, and then depositing it), and it's not clear how to split a single slippage tolerance value (e.g., 0.1%) among individual operations without either causing unexpected failures or getting unpredictable resulting slippage;
  2. Some external contracts (such as ERC4626 vaults) do not have in-protocol slippage protection and rely on integrators to check their slippage themselves.

Therefore, Gearbox provides means to notify the expected amount of some output token before a sequence of calls, and then check that the resulting balance is not less than that amount at any point during a multicall.

This is done with two functions:

/// @notice Stores expected token balances (current balance + delta) after operations for a slippage check.
///         Normally, a check is performed automatically at the end of the multicall, but more fine-grained
///         behavior can be achieved by placing `storeExpectedBalances` and `compareBalances` where needed.
/// @param balanceDeltas Array of (token, minBalanceDelta) pairs, deltas are allowed to be negative
/// @dev Reverts if expected balances are already set
/// @dev This method is available in all kinds of multicalls
function storeExpectedBalances(BalanceDelta[] calldata balanceDeltas) external;
/// @notice Performs a slippage check ensuring that current token balances are greater than saved expected ones
/// @dev Resets stored expected balances
/// @dev Reverts if expected balances are not stored
/// @dev This method is available in all kinds of multicalls
function compareBalances() external;

storeExpectedBalances accepts the minimal deltas that the user expects to receive after a sequence of calls, and is best called right before the sequence. Deltas for several assets at once can be submitted. After performing the external calls, compareBalances() is called to perform a slippage check.


BalanceDelta[] memory deltas = new BalanceDelta[](1);
deltas[0] = BalanceDelta({
    token: token,
    amount: minAmount;
calls[0] = MultiCall({
    target: address(creditFacade),
    callData: abi.encodeCall(ICreditFacadeV3Multicall.storeExpectedBalances, (deltas))
// Assume external calls here
calls[3] = MultiCall({
    target: address(creditFacade),
    callData: abi.encodeCall(ICreditFacadeV3Multicall.compareBalances, ())

Additional notes

It is recommended to keep slippage checks as close as possible to external calls they control (ideally, storeExpectedBalances should be right before the first external call, and compareBalances should be right after the last). Since slippage checks work directly off account's token balances (i.e., they call balanceOf), functions like addCollateral and withdrawCollateral can lead to slippage checks passing or failing wrongly, if they are called in between slippage check calls.

Calling compareBalances without calling storeExpectedBalances will fail. If storeExpectedBalances is called, but compareBalances is not called by the end of the multicall, the check is performed automatically at the end.

Last updated on November 16, 2023