Frequently asked questions about Rubicon

Questions about Rubicon

What is Rubicon?

Rubicon is a decentralized open order book exchange built on Ethereum Layer 2 networks. It powers the peer-to-peer trading of ERC20 tokens (Ethereum-based crypto assets). The protocol can be used to trade and swap between ERC20 tokens and provide liquidity in democratic liquidity pools. Try Rubicon today using the app!
How do I use Rubicon?
To trade on Rubicon you will need an Ethereum wallet and some ETH.
Rubicon is live on the Optimistic Ethereum network. Popular wallets with support for this network are MetaMask, Coinbase Wallet, Rainbow, and imToken.
You will always need some ETH in your wallet to cover your transaction fees. You can purchase ETH in the Rubicon app by clicking "Buy Crypto" and using Ramp. If Ramp is not available in your jurisdiction, check out the Ethereum Foundation's guide to buying ETH from anywhere.
Does Rubicon have a token?
Rubicon does not currently have a token, we are focused on building and finding product-market fit. Any announcements will come from the Rubicon team on our official channels like our Twitter.

How are prices determined on Rubicon?

Rubicon is an open order book exchange, meaning all prices are determined by a two-sided, transparent marketplace of buyers and sellers. Using the ETH/USDC pair as an example, traders can submit limit orders where they specify a price (in USDC) and quantity (in ETH) that they want to buy or sell. A limit order will sit in the order book until it is filled; outstanding orders can be canceled under History in the Rubicon app. Traders can also submit market orders, where they input only a quantity they want to buy or sell, and their order is immediately matched with the best possible price in the order book. When you swap tokens on Rubicon, a router contract finds the best execution for your trade across the Rubicon order books and routes the trade accordingly.

What are Rubicon Pools?

Rubicon Pools are the native liquidity pools for the Rubicon exchange. They empower anyone to be a liquidity provider and generate passive yield on their crypto assets. Users can deposit tokens into liquidity pools, where their crypto assets are used by strategists to provide liquidity on the Rubicon exchange. The profits from the trading strategies are split between strategists and the pool liquidity providers (LPs). Learn more on the What are Rubicon Pools? page.

Does Rubicon have fees?

Rubicon has a protocol trading fee, currently set to 0% on maker trades and 0.2% on taker trades. This fee is paid in whatever ERC20 asset the user is trading.

How does Rubicon work?

At its core, Rubicon is a series of smart contracts on an Ethereum Layer 2 network. These contracts house the key two elements of the protocol: the Rubicon order book exchange and Rubicon Pools. To read a more technical explanation, go to the Contracts section of these docs or check out the protocol for yourself on Github. The Rubicon team also built our web application so you can easily interact with the protocol rather than manually interacting with smart contracts.

Why is token ABC not on Rubicon?

Our current focus is on establishing core features around popular trading pairs, such as ETH/USDC. We will continue to improve the breadth of our offerings and ultimately facilitate permissionless tokens. In the interim, send suggestions to [email protected] or tweet at us to let us know what our next pair should be!

Questions about Layer 2

What is Optimistic Ethereum?

Optimistic Ethereum (OΞ) is an Ethereum layer 2 scaling solution with cheap transactions, instant confirmations, and high throughput. Optimistic Ethereum implements an optimistic rollup to execute transactions off-chain, batch them together (i.e. roll them up) and send the output data to Ethereum. OΞ is also EVM-compatible, so existing Ethereum apps can deploy to Optimistic Ethereum with little to no changes necessary. At a high-level OΞ is Ethereum inside of Ethereum, just cheaper and faster! It is designed, built, and maintained by OptimismPBC.
How do I move my assets onto Optimistic Ethereum?
To move your assets from Ethereum to Optimistic Ethereum, you need to use the Optimism Gateway bridge. Make sure that you deposit some ETH onto L2 to cover your transaction fees. Moving depositing/withdrawing between the two networks can be expensive, so you will want to do this as little as possible. Please keep in mind that if you want to withdraw assets from Optimistic Ethereum, there is a one-week delay. This delay is part of the fraud proofs system that secures the Optimistic Ethereum network.
You can use a third-party bridge like Hop or Celer's cBridge to skip the withdrawal delay in exchange for a small fee. Full tutorials for depositing and withdrawing assets using the Optimism Gateway and Hop can be found here.

How much are transaction fees on Optimistic Ethereum?

Gas fees on Optimistic Ethereum are anywhere between 2x-100x cheaper than on the main Ethereum chain. However, gas fees are calculated a little differently than you may be used to. You can read this guide from the Optimism team to learn more about L2 gas, but the summary is do not change the gas price or gas limit on any Rubicon trades. Changing these will not speed up your transaction, and could lead to your transaction being rejected. If you have trouble with gas fees please send a message in the Support channel on our Discord server.
What is Layer 2 scaling?
Layer 2 or L2 refers to scaling solutions for Ethereum that remove transaction execution off of the Ethereum main chain (L1) onto a second layer (L2). Transactions are batched together off-chain and their output data is sent back to Ethereum L1, so the finality of all L2 transactions is still dependent on the Ethereum main chain. These solutions are able to significantly reduce transaction costs and increase transaction throughput while still inheriting Ethereum's security.
At a high level, layer 2 solutions can take applications on Ethereum from operating on the equivalent of dial-up internet to high-speed broadband. For further reading, check out our Layer 2 Resources.

Why is my transaction not going through?

Transactions on Optimistic Ethereum are typically confirmed within seconds. If your transaction is failing, make sure you did not try to modify the gas price or gas limit on the transaction. If you are still having trouble, visit the #support channel in our Discord and send the Optimistic Etherscan link to your transaction.
Last modified 2mo ago