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 trading assets and reacting to narratives, Sway lets you take positions on the narratives directly 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 narrative

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
• Others begin taking positions
• Liquidity builds
• 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
• 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

Sway charges a small fee on Opening & Closing positions.

Fees support:

• Protocol sustainability
• Incentives for creators and curators

Do note that Fees can and will change over time.

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

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