No Gas Token on the Destination Chain: What Risks Does Aggregator Gas Sponsorship Add?

 / 
4

There is no gas token on the destination chain, and the aggregator says it can "pay gas for you"—do not think this only makes things easier. This feature can solve an urgent problem, but it does not just pay a fee for you. What you give away is part of the control over your assets.

OKX Exchange
A leading global cryptocurrency platform,suitable for both beginners and experienced traders.
New user benefit: 20% off trading fees upon registration!!

First, understand how it works. The aggregator's gas sponsorship mechanism usually deducts a fee directly from the assets you transfer on the source chain. This fee is like a "gas sponsorship service charge." Then the aggregator sends a transaction on the destination chain and pays the gas for your address. In Layer 2 scenarios, this mechanism is sometimes called a "one-click" or "gasless" transaction. It allows users to complete transfers without holding the corresponding native token.

But there are several risks you need to know in advance.

Step 1: Think clearly about what permission this "gas sponsorship" requires you to give up

Technically, "gas sponsorship" essentially means the aggregator gets permission to "send a transaction on your behalf." This permission is usually implemented through a "Permit" signature or an "Increase Allowance" approval operation. The purpose is to let the aggregator's smart contract move your tokens and deduct fees from them.

At this point you need to understand: you are allowing a third-party contract to operate your assets. Reputable aggregators have public code logic that can be reviewed, but once a smart contract is deployed, anyone can call it. If the aggregator is attacked, or if the contract itself has a backdoor, the permission you gave could be abused.

Step 2: Two extra costs hidden in the details

Besides the permission risk, you also need to pay attention to two potentially "hidden" fees:

  • Service fee higher than expected: Some aggregators charge an extra percentage service fee based on the total amount, rather than simply charging a fixed gas sponsorship fee.

  • Exchange rate or slippage loss: The gas sponsorship service fee is usually deducted directly from the assets you are bridging. When the aggregator calculates how much asset to deduct, it refers to the current exchange rate. If the market is volatile at that time, or the token's liquidity pool is shallow, the loss from this fee conversion may be much higher than the cost of preparing gas yourself in advance.

OKX Exchange
A leading global cryptocurrency platform,suitable for both beginners and experienced traders.
New user benefit: 20% off trading fees upon registration!!

Step 3: Suggestions for using the gas sponsorship feature safely

If you really need to use the gas sponsorship feature, it is recommended to confirm the following steps first:

  1. Check the approval amount: Before clicking confirm, in the signature request popped up by your wallet, carefully check the approval amount field. If it shows "unlimited" or a number far larger than your transaction amount, it means the risk exposure is relatively large. Prioritize manually setting an amount closer to the transaction amount.

  2. Confirm the fee structure: Before confirming the transaction, expand the aggregator's "fee details" or "details" page. Check whether the "gas sponsorship service fee" is charged as a fixed amount or as a percentage, and whether this fee will cause additional exchange rate loss.

  3. Clean up after the transaction: After the transaction is completed, go to the "Token Approvals" page on a block explorer, such as Etherscan's approval management, find the approval given to that aggregator, and manually click Revoke. This step is not mandatory, but it can minimize the risk if the contract has problems.

How to verify after completing the operation: When confirming the transaction, the approval amount in the wallet signature request should be "limited," not "unlimited" (type(uint256).max). After the transaction is completed, the revoke approval operation should be done on the aggregator's official page or in the block explorer's approval management. Do not do it through unofficial channels.