Slippage tolerance
Slippage tolerance is a DEX setting that limits how much worse than expected your swap price can be. If the price moves further than that, the transaction is cancelled.
How it works
Between clicking "swap" and your transaction landing in a block, the price can change because others are trading too. Slippage tolerance is your limit. At 0.5% the DEX works out a "minimum received" amount and rejects the trade if you would get less.
Set it too low, like 0.1% on a volatile token, and transactions fail often, and you still pay gas for them. Set it too high, like 10–20%, and you invite bots: they see your trade and run a sandwich attack that squeezes out almost your whole tolerance.
Large pairs and stablecoins usually need 0.1–0.5%, small volatile tokens sometimes 1–3%. Some tokens charge a tax on buys or sells and need more, but that alone is a reason to look at the token more carefully.
You swap 1 ETH for USDC and the interface shows 3,000 USDC. At 0.5% tolerance, the minimum received is 2,985 USDC. If price moves would give you 2,980, the transaction reverts. At 5% tolerance a bot could move the price so you get only 2,850.
A common mistake is setting a high tolerance "so it goes through" and forgetting about it. The setting often sticks for future swaps, and bots pocket the gap. Use the lowest value that works for the specific pair and reset it after the trade.
Questions and answers
What is slippage tolerance in simple terms?
It is how much worse a price you accept on a swap. If the market moves past that limit, the trade does not go through.
What slippage tolerance should I use?
Usually 0.1–0.5% for large pairs and up to 1–3% for small tokens. Use as little as you can while still getting the transaction through.
Why did my swap fail because of slippage?
The price moved more than you allowed while the transaction waited for a block. You usually still pay gas for the failed attempt.
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Updated: 2026-10-19