About Sway

What is Sway?

Sway is the world's first narrative market.

It transforms narratives into tradable assets. Discover or create markets around emerging ideas, take positions instantly, and earn when your ideas move the market.

How Sway works (Technical)?

Built on Hyperliquid, Sway ingests real-time market signals from multiple news sources and social media platforms to identify key and actionable structured narratives. Users are also able to express conviction and create their own narratives, from which they will earn rewards when others sway on their content.

All positions are routed to and settled on Hyperliquid's HIP-3 markets. Our non-custodial wallet infrastructure is powered by Privy, while rewards and fee settlement happen onchain via smart contracts on Arbitrum.

Vision: Narrative Markets

Sway introduces a new financial primitive: narrative markets.

Beyond fundamentals, markets are driven by stories and ideas.

Narratives shape attention, move capital, and ultimately determine outcomes. Yet today, there is no native way to express conviction to a narrative itself.

Sway changes that.

Instead of reacting to narratives, Sway lets you act on them by taking positions in the underlying assets they drive, in real time as they form and evolve.

This unlocks a new layer of markets:

• Where ideas become positions
• Where attention becomes capital
• Where conviction becomes signal

Narrative markets are not just a new product category. They redefine how information, belief, and capital interact onchain.

Why Sway Exists

Sway exists because the current market structure is incomplete.

1. Markets lag narratives

By the time you trade an asset, the narrative has often already played out. There is no direct way to act early, much less in real time, on the idea itself.

2. Existing primitives are commoditized

Trading infrastructure (perps, spot, swaps) is increasingly efficient but not meaningfully differentiated. Innovation must happen at the primitive, and not just the interface.

3. Conviction has no native expression

People have strong views on events, trends, and narratives but those views are extremely fragmented across social platforms and disconnected from capital.

Sway bridges this gap by turning narratives into live, tradeable markets.

What can you do on Sway?

On Sway, you can:

• Take positions on emerging narratives
• Discover high-conviction ideas from others
• Express your own narratives and let others participate
• Earn when others decide to follow your narratives

How to get started?

Sway is fully onchain and non-custodial.

To get started:

• Connect your existing wallet OR fund a non-custodial Privy wallet
• Start exploring or participating in narratives immediately

You remain in control of your funds at all times.

Basic User Flow (End-to-End)

1. Discover a narrative (e.g. "AI tokens will outperform")

2. Evaluate conviction and market activity

3. Go long or short on the underlying assets

4. Monitor performance as the narrative evolves

5. Close your position when you choose

Alternatively:

1. Create your own narrative

2. Share it with the market

3. Others participate

4. Earn from engagement and correctness

What is a Narrative?

A narrative is a market-facing idea such as:

• A macro trend (e.g. "ETH ecosystem will dominate")
• A short-term event (e.g. "Token X will pump after announcement")
• A thematic belief (e.g. "AI + crypto convergence accelerates")

Narratives are the unit of trading on Sway.

Every narrative can be:

• Bullish → you believe the narrative will strengthen or play out
• Bearish → you believe the narrative will weaken or fail

This creates a two-sided market around belief and disagreement.

Conviction & Positioning

Your position reflects your conviction.

• Higher size = stronger belief
• Earlier entry = higher potential upside
• Better timing = stronger edge

Conviction becomes measurable and visible onchain.

Market Formation

Markets form organically:

• A user creates a narrative
• Participants trade the underlying assets
• Liquidity builds around the idea
• Price reflects collective belief

Over time, narratives evolve into fully formed markets driven by participation and information flow.

How do you open & close positions?

To open

• Select a narrative
• Choose long or short on the underlying asset
• Enter position size

To close

• Exit at any time based on current pricing

Positions are fluid and responsive to real-time sentiment.

P&L Mechanics

Profit and loss is driven by:

• Changes in narrative strength (price movement)
• Timing of entry and exit
• Market participation and liquidity

If your view aligns with how the narrative evolves, you earn.

Fees

Every trade on Sway executes on Hyperliquid. The total fee on each trade is made up of two components: the Hyperliquid exchange fee and the Sway builder fee.

Hyperliquid Exchange Fees

Hyperliquid charges a fee based on whether your order adds or removes liquidity from the order book. Rates decrease as your 14-day rolling volume increases.

Base fee tiers (14-day rolling volume):

Hyperliquid also offers VIP tiers (Diamond, Platinum, Gold, Silver, Bronze, Wood) based on HYPE token holdings, which apply additional discounts on top of the volume-based rates. The in-app fee estimate always uses live rates fetched from Hyperliquid and will reflect any changes.

Sway Builder Fee

Sway charges a builder fee on each trade. This fee funds platform rewards distributed back to narrative creators, referrers, and the treasury.

80% of fees on user-generated narratives are distributed back to creators.

Total Fees by Order Type

Fees are deducted from your position value at the time of execution. The cash-out screen in the app shows an estimated fee and net payout before you confirm.

Withdrawal Fees

Hyperliquid charges a flat fee when withdrawing USDC from your trading account to your wallet.

The $1.00 fee is deducted from the withdrawal amount. A minimum withdrawal of $2.00 USDC applies to ensure you receive at least $1.00 after the fee.

Creating Narratives

Anyone can create a narrative by:

• Defining a clear, tradeable idea
• Providing context or reasoning
• Publishing it to the market

Once live, others can take positions on it.

Best Practices

Strong narratives are:

• Clear and specific
• Time-relevant
• Debatable (not obvious)
• Rooted in real signals or insights

Good narratives attract liquidity and participation.

Curation / Discovery Mechanism

Sway surfaces narratives through:

• Market activity (volume, participation)
• Performance (accuracy over time)
• Social distribution (sharing, engagement)

The best narratives rise naturally and are driven by signal, not noise.

Fees & Rewards

Sway is built on a simple idea:

Fees don't disappear — they flow to those who create and distribute value.

Every trade on Sway contributes to an on-chain economy where narratives, creators, and distribution are directly rewarded.

How Fees Work

All trades on Sway incur a fee at execution.

Rather than being retained solely by the platform, fees are programmatically distributed based on how the trade originates — whether through a narrative, a referral, or direct execution.

Where Fees Go

1. Pipeline Narratives (Sway-Generated)

For narratives created and seeded by Sway:

• 20% of fees are allocated to the referrer (if applicable)
• 80% of fees are retained by the Sway treasury

These narratives are designed to bootstrap liquidity and guide early market formation.

2. User-Generated Narratives

For narratives created by users:

• 80% of fees are claimable by the narrative creator
• 20% of fees are allocated to the Sway treasury
• Referral rewards do not apply to this trade type

Creators directly benefit from the activity and engagement their narratives generate, aligning incentives with market participation and quality.

3. Direct Trades (No Narrative)

For trades executed outside of any narrative:

• 20% of fees are allocated to the referrer (if applicable)
• Remaining fees are retained by the Sway treasury

Direct trades do not participate in the narrative economy and are treated purely as execution flow.

What is the Referral Program?

Referrals reward users who bring new participants and trading activity into the ecosystem.

How it works:

• Generate your unique referral code once your account reaches $10,000 in trading volume
• Send your code to new users to enter at signup in order to receive rewards

Benefits:

• Earn: Receive 20% of trading fees generated by your referees
• Payout: Rewards accrue in real time and become claimable once they exceed $1

Claimed rewards are instantly reflected in your spot balance.

What is the Creator Program?

Creators are the engine of Sway's narrative economy. They identify, shape, and distribute narratives that drive market activity.

Creator Benefits:

• Narrative Earnings: Earn 80% of fees generated from trading on your narratives
• Referral Earnings: Receive 20% of trading fees from your referees
• Tracking: Rewards update daily and are claimable once they exceed $1

Security

Sway engaged CD Security to conduct a time-boxed security review of our app in May 2026, covering all application layers including smart contracts. This rigorous process validated our commitment to safety and adherence to best practices.

Security is an ongoing process, not a one-time event; therefore, we have established a mandatory schedule for routine, third-party security audits to continuously verify the resilience of Sway against evolving threats and ensure the highest standards of user protection. All findings have been resolved or formally acknowledged.

View the full audit report as of 07 May 2026 here.

If there are any valid security concerns, we will pay out a bug bounty depending on severity. Feel free to open a ticket in our Discord.