Written By
Product Manager

What is a Zap?

May 12, 2021

Zapper’s mission is to make DeFi easy for everyone. One of the core products that helps us with our mission is our Zaps. Zaps make it easy for anyone to add liquidity to complex DeFi protocols.

The Problem Adding liquidity

Imagine you would like to add liquidity to the Curve 3Pool. This pool requires the user have USDC, DAI, and USDT. However, let’s say this user just finished onboarding from a centralized exchange and only has ETH in their wallet.

How Zaps work on Zapper
4 transactions to swap ETH and deposit into Curve

As a result, since they only have ETH they would need to individually swap their ETH into the underlying pool stablecoins and then deposit those 3 assets into Curve. This works out to a total of 4 separate transactions to go from ETH to depositing in the Curve 3Pool. More transactions and more preparation to participate creates friction for the user and can make DeFi intimidating to get started.

How Zaps Make Adding Liquidity Easy

Let’s talk about the same example above, but this time instead of manually swapping ETH and performing the 3 other individual transactions, you use a Curve Zap on Zapper. This Zap allows you to deposit into the 3Pool in a single transaction.

Adding liquidity with Zapper Pools
Adding liquidity (aka zapping) into the Curve 3Pool with Zapper Pools

As you can see above, the Zap does all the work for you! It swaps the ETH for stablecoins, deposits them into Curve, and then returns the 3Pool liquidity pool tokens to the user’s address in a single transaction. The result is you don't have to worry about having the specific tokens in exact prepared proportions before you can provide liquidity.

How a Zap contract makes it possible to add liquidity in DeFi
Zapping into the Curve 3Pool in a single transaction

Try your first Zap today!
Add liquidity with Zapper Pools

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