Instead of directly executing trades on-chain, users only sign their swap intention and delegate the execution to solvers, also known as relayers in other protocols. Solvers compete to offer the best exchange rate and win the right to settle trades. By batching multiple trades together to create Coincidence of Wants (CoWs), solvers can reduce gas costs, AMM fees, and execution risk. As a result, CoWs provide better prices than any existing DEX aggregator. When CoWs are not available, solvers resort to using the best on-chain route by comparing quotes from leading aggregators.

The COW token grants holders the ability to govern and curate the infrastructure of the CoW Protocol ecosystem through the CowDAO. Additionally, COW token holders enjoy fee discounts when trading on CowSwap and other perks.